1. Describe the features of Auditing Standard No. 2 of PCAOB, particularly with regard to IT controls. 2. What are the constraints on internal control effectiveness? 3. Discuss the features and...

1. Describe the features of Auditing Standard No. 2 of PCAOB, particularly with regard to IT controls.

2. What are the constraints on internal control effectiveness?

3. Discuss the features and benefits of a ‘top-down approach’ to the audit of internal control over financial reporting. What are the reasons for its effectiveness and efficiency in audit process?

4. A company’s security infrastructure and related controls are important features of its internal

control system. Discuss this issue with regard to the auditor’s consideration when examining the financial statement assertions.