Discussion of Decision Theory Aspects of Internal Control System Design/Compliance and Substantive Tests.

The article presents the author's commentary on the report "Decision Theory Aspects of Internal Control System Design/Compliance and Substantive Tests," by William Kinney, included within the issue, criticizing his decision-theory paradigm to the American Institute of Certified Public Accountant's Statement on Auditing Standards (SAS) number 1, section 320. It is suggested that Kinney's mathematical models are oversimplified in many elements of practice and implication.