The effectiveness of controls is not generally tested by:A. Inspection of documents and reports. B. Performance of analytical procedures. C. Observation of the application of accounting policies and procedures. D. Inquiries of appropriate client personnel

Letter B is correct. Performance of analytical procedures.

Explanation:

The effectiveness of internal control in an organization occurs when the procedures and policies developed by managers are maintained to protect assets through an expected degree of confidence.

Performance of analytical procedures are used as a risk assessment instrument, ie they are used near the end of each audit to assist and direct the auditor in determining conclusions about the financial statements.