An internal auditor deploys an internal control questionnaire to obtain preliminary information during an audit of the sales process. Which of the following is the major setback of this method?
A.
Questionnaire are generally inefficient.
B.
Only limited information can be collected.
C.
It is difficult to quantify the data obtained.
D.
The method is of limited value as it is not independent.
An Internal Control Questionnaire (ICQ) is a useful tool for gathering preliminary information and gaining an understanding of processes. However, its major limitation is that it relies heavily on self-reporting by process owners, which means:
The responses are not independently verified,
There is a risk of bias, misrepresentation, or lack of objectivity,
It may lead to false assurance if not followed up with testing.
Therefore, D correctly highlights the lack of independence as the primary drawback.
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Kozy
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