Question 1

A strong component of internal control can reduce all the financial reporting risks to zero.

Accepted Answer

A) True 
 B)False  False

Question 2

Which of the following is not a component of the COSO framework for internal control?

Accepted Answer

A)  risk assessment 
B)  control activities 
C)  monitoring 
D)  corporate governance 
A)  risk assessment 
B)  control activities 
C)  monitoring 
D)  corporate governance D

Question 3

Computer controls that are pervasive and affect every computerised system are known as:

Accepted Answer

A)  overall computer controls 
B)  general computer controls 
C)  application controls 
D)  processing controls 
A)  overall computer controls 
B)  general computer controls 
C)  application controls 
D)  processing controls B

Question 4

Which of the following is part of the components of internal control of an organisation?

Accepted Answer

A)  management's philosophy and operating style 
B)  organisational structure 
C)  human resources 
D)  all of the above 
A)  management's philosophy and operating style 
B)  organisational structure 
C)  human resources 
D)  all of the above

Question 5

The components of internal control includes which of the following?

Accepted Answer

A)  control activities 
B)  management philosophy and operating style 
C)  assessing activity level risks 
D)  application level controls 
A)  control activities 
B)  management philosophy and operating style 
C)  assessing activity level risks 
D)  application level controls

Question 6

Documentation should clearly identify each component of the internal control framework.

Accepted Answer

A) True 
 B)False

Question 7

Which one of the following groups is not interested in an organisation's control structure?

Accepted Answer

A)  board members 
B)  lenders 
C)  auditors 
D)  environmental groups 
A)  board members 
B)  lenders 
C)  auditors 
D)  environmental groups

Question 8

Components of internal control	
One of the elements of an organisation's control system is the 'components of internal control'. Identify at least four factors that the auditor should consider when reviewing the components of internal control and discuss how the auditor would relate this review to the assessment of control risk.

Accepted Answer

The factors that an auditor should consi

Question 9

Auditors gain an understanding of control risk for each relevant assertion for each important class of transactions and each significant account balance as a basis for planning the audit.

Accepted Answer

A) True 
 B)False

Question 10

Integrated audit
Discuss the fundamental control concepts an auditor should focus on when evaluating the organisation's data processing.

Accepted Answer

The auditor should focus on seven fundam

Question 11

The components of internal control includes all of the following except:

Accepted Answer

A)  management philosophy and operating style 
B)  methods of assigning authority and responsibility 
C)  personnel policies and practices 
D)  control activities 
A)  management philosophy and operating style 
B)  methods of assigning authority and responsibility 
C)  personnel policies and practices 
D)  control activities

A strong component of internal control can reduce all the financial reporting risks to zero.

Which of the following is not a component of the COSO framework for internal control?

Computer controls that are pervasive and affect every computerised system are known as:

Which of the following is part of the components of internal control of an organisation?

The components of internal control includes which of the following?

Documentation should clearly identify each component of the internal control framework.

Which one of the following groups is not interested in an organisation's control structure?

Auditors gain an understanding of control risk for each relevant assertion for each important class of transactions and each significant account balance as a basis for planning the audit.

Integrated audit Discuss the fundamental control concepts an auditor should focus on when evaluating the organisation's data processing.

The components of internal control includes all of the following except:

Assurance and Auditing: Integral to the Economy

Corporate Governance and Audits

Judgemental and Ethical Decision-Making Frameworks and Associated Professional Standards

Professional Liabilit

Audit Risk, Business Risk, and Audit Planning

Audit Evidence: A Framework

Tests of Control and Substantive Test Implications

Tools to Gather Audit Evidence

Auditing for Fraud

Auditing Revenue, Related Accounts, Audit of Acquisition and Payment Cycle and Inventory

Audit of Cash and Other Liquid Assets

Audit of Long-Lived Assets and Related Expense Accounts

Audit of Long-Term Liabilities, Equity, Acquisitions and Related-Entity Transactions

Completing the Audit or Review

Audit, Review and Other Reports

Advanced Topics Concerning Complex Auditing Judgements

Filters

Exam 6: Internal Control Over Financial Reporting

A strong component of internal control can reduce all the financial reporting risks to zero.

Which of the following is not a component of the COSO framework for internal control?

Computer controls that are pervasive and affect every computerised system are known as:

Which of the following is part of the components of internal control of an organisation?

The components of internal control includes which of the following?

Documentation should clearly identify each component of the internal control framework.

Which one of the following groups is not interested in an organisation's control structure?

Auditors gain an understanding of control risk for each relevant assertion for each important class of transactions and each significant account balance as a basis for planning the audit.

Integrated audit Discuss the fundamental control concepts an auditor should focus on when evaluating the organisation's data processing.

The components of internal control includes all of the following except:

Assurance and Auditing: Integral to the Economy

Corporate Governance and Audits

Judgemental and Ethical Decision-Making Frameworks and Associated Professional Standards

Professional Liabilit

Audit Risk, Business Risk, and Audit Planning

Audit Evidence: A Framework

Tests of Control and Substantive Test Implications

Tools to Gather Audit Evidence

Auditing for Fraud

Auditing Revenue, Related Accounts, Audit of Acquisition and Payment Cycle and Inventory

Audit of Cash and Other Liquid Assets

Audit of Long-Lived Assets and Related Expense Accounts

Audit of Long-Term Liabilities, Equity, Acquisitions and Related-Entity Transactions

Completing the Audit or Review

Audit, Review and Other Reports

Advanced Topics Concerning Complex Auditing Judgements

Filters