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At the SEC Web site, obtain Management's Report on Internal Control provided by Powell Industries, Inc. for the year end September 30, 2011.
a. Identify the material weaknesses that management described in its report on internal control.
b. Why would management consider these deficiencies to be material weaknesses?
c. The report notes that misstatements in the financial statements had been identified. Are misstatements necessary for manage- ment to conclude that a control deficiency is a material weak- ness? Explain.
d. What process would Powell's management have gone through to identify these material weaknesses?
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