Question 1

Which of the following is a category of general controls?

Accepted Answer

A)  Output controls. 
B)  Input controls. 
C)  Physical and online security. 
D)  Processing controls. 
A)  Output controls. 
B)  Input controls. 
C)  Physical and online security. 
D)  Processing controls.

Question 2

List and briefly describe examples of risk factors for each condition of fraud for misappropriation of assets.

Accepted Answer

Incentives/Pressures: 1. Personal financ

Question 3

Which of the following statements about general controls is not correct?

Accepted Answer

A)  Programmers should have access to computer operations to aid users in resolving problems. 
B)  Disaster recovery plans should identify alternative hardware to process company data. 
C)  Successful IT development efforts require the involvement of IT and non- IT personnel. 
D)  The chief information officer should report to senior management and the board. 
A)  Programmers should have access to computer operations to aid users in resolving problems. 
B)  Disaster recovery plans should identify alternative hardware to process company data. 
C)  Successful IT development efforts require the involvement of IT and non- IT personnel. 
D)  The chief information officer should report to senior management and the board.

Question 4

Which of the following principles is not necessary for the proper design and use of documents and records?

Accepted Answer

A)  Designed for multiple uses to increase efficiency of operations. 
B)  Prepared at the time a transaction takes place. 
C)  Designed for a single use to increase efficiency of operations. 
D)  Constructed in a manner that encourages correct preparation. 
A)  Designed for multiple uses to increase efficiency of operations. 
B)  Prepared at the time a transaction takes place. 
C)  Designed for a single use to increase efficiency of operations. 
D)  Constructed in a manner that encourages correct preparation.

Question 5

________ involves implementing a new system in one part of the organization, while other locations continue to use the current system.

Accepted Answer

A)  Parallel testing 
B)  Pilot testing 
C)  Online testing 
D)  Control testing 
A)  Parallel testing 
B)  Pilot testing 
C)  Online testing 
D)  Control testing

Question 6

Which of the following is correct?

Accepted Answer

A)  A control deficiency is always a material weakness. 
B)  A material weakness is always a significant deficiency. 
C)  A material weakness is less significant that a control deficiency. 
D)  A significant deficiency is always a material weakness. 
A)  A control deficiency is always a material weakness. 
B)  A material weakness is always a significant deficiency. 
C)  A material weakness is less significant that a control deficiency. 
D)  A significant deficiency is always a material weakness.

Question 7

Service center auditors do not issue which of the following types of reports?

Accepted Answer

A)  Report on implemented controls. 
B)  Report on controls that have been implemented and tested for design effectiveness. 
C)  Report on controls that have been implemented and tested for operating effectiveness. 
D)  Each of the above is issued. 
A)  Report on implemented controls. 
B)  Report on controls that have been implemented and tested for design effectiveness. 
C)  Report on controls that have been implemented and tested for operating effectiveness. 
D)  Each of the above is issued.

Question 8

An act of two or more employees to steal assets or misstate records is frequently referred to as:

Accepted Answer

A)  a control deficiency. 
B)  collusion. 
C)  a material weakness. 
D)  a significant deficiency. 
A)  a control deficiency. 
B)  collusion. 
C)  a material weakness. 
D)  a significant deficiency.

Question 9

Which of the following is not a general control?

Accepted Answer

A)  Adequate program run instructions for operating the computer. 
B)  Reasonableness test for unit selling price of a sale. 
C)  Separation of duties between programmer and operators. 
D)  Equipment failure causes error messages on monitor. 
A)  Adequate program run instructions for operating the computer. 
B)  Reasonableness test for unit selling price of a sale. 
C)  Separation of duties between programmer and operators. 
D)  Equipment failure causes error messages on monitor.

Question 10

To determine if significant internal control deficiencies are material weaknesses, they must be evaluated on their:

Accepted Answer

The answer of To determine if significant internal control deficiencies...

Which of the following is a category of general controls?

List and briefly describe examples of risk factors for each condition of fraud for misappropriation of assets.

Which of the following statements about general controls is not correct?

Which of the following principles is not necessary for the proper design and use of documents and records?

________ involves implementing a new system in one part of the organization, while other locations continue to use the current system.

Which of the following is correct?

Service center auditors do not issue which of the following types of reports?

An act of two or more employees to steal assets or misstate records is frequently referred to as:

Which of the following is not a general control?

To determine if significant internal control deficiencies are material weaknesses, they must be evaluated on their:

The Demand for Audit, Cpa Profession, Audit Reports and Other Assurance Services

Professional Ethics, Legal Liability, Audit Responsibilities and Objectives

Audit Evidence, Audit Planning, Analytical Procedures, Materiality and Risk

Overall Audit Strategy, Audit Program, Audit of the Sales and Collection Cycle, Audit Sampling for Tests of Controls and Substantive Tests of Transactions

Completing the Tests in the Sales and Collection Cycle: Accounts Receivable, Audit Sampling for Tests of Details of Balances, and Audit of the Acquisition and Payment Cycle

Completing the Tests in the Acquisition and Payment Cycle: Verification of Selected Accounts, Audit of the Payroll and Personnel Cycle, Audit of the Inventory and Warehousing Cycle

Audit of the Capital Acquisition, Repayment, Audit of Cash and Financial Instruments, and Completing the Audit

Other Assurance Services, Internal and Governmental Financial Auditing and Operations Auditing

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Exam 4: Internal Control, Control Risk, Section 404 Audits, Fraud Auditing, and the Impact of Information Technology on the Audit Process

Which of the following is a category of general controls?

List and briefly describe examples of risk factors for each condition of fraud for misappropriation of assets.

Which of the following statements about general controls is not correct?

Which of the following principles is not necessary for the proper design and use of documents and records?

________ involves implementing a new system in one part of the organization, while other locations continue to use the current system.

Which of the following is correct?

Service center auditors do not issue which of the following types of reports?

An act of two or more employees to steal assets or misstate records is frequently referred to as:

Which of the following is not a general control?

To determine if significant internal control deficiencies are material weaknesses, they must be evaluated on their:

The Demand for Audit, Cpa Profession, Audit Reports and Other Assurance Services

Professional Ethics, Legal Liability, Audit Responsibilities and Objectives

Audit Evidence, Audit Planning, Analytical Procedures, Materiality and Risk

Overall Audit Strategy, Audit Program, Audit of the Sales and Collection Cycle, Audit Sampling for Tests of Controls and Substantive Tests of Transactions

Completing the Tests in the Sales and Collection Cycle: Accounts Receivable, Audit Sampling for Tests of Details of Balances, and Audit of the Acquisition and Payment Cycle

Completing the Tests in the Acquisition and Payment Cycle: Verification of Selected Accounts, Audit of the Payroll and Personnel Cycle, Audit of the Inventory and Warehousing Cycle

Audit of the Capital Acquisition, Repayment, Audit of Cash and Financial Instruments, and Completing the Audit

Other Assurance Services, Internal and Governmental Financial Auditing and Operations Auditing

Filters