Test whether a monthly close review operated with sufficient precision and evidence.
You need to test a monthly close package review where the only visible evidence is initials on a deck. Operating effectiveness testing asks whether the control operated as designed: right person, right timing, reliable inputs, review precision, exception follow-up, and conclusion. The common trap is treating a signed deck as proof of review. That misses the core SOX question: whether the reviewer applied a precise enough procedure to catch the relevant misstatement risk before the close was finalized. Before Evidence: close deck saved with controller initials. Tester conclusion: reviewed. After Evidence: close deck tied to GL, variance threshold applied, two…
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