Exam 6: The Challenges of Accounting: Standards, Internal Control, Audits, Fraud, and Ethics

An organization's employees are responsible for the design and implementation of the internal control system.

The factor that might make a person steal money because "The company has more than its fair share," would be:

The audit opinion that all companies try to achieve is a(n):

One of the biggest factors in implementing SOX was:

One objective of an internal control system is to safeguard the assets of a company.

Renoir, Inc. has a reported book value of $20 million; however, the market value of Renoir's stock is $64 million. This means:

Currently, most European countries are using International Financial Reporting Standards.

A person who reports unethical behavior is called a whistleblower.

For accounting information to be useful it must be all of the following EXCEPT:

What is an audit opinion?

Under which circumstance would an adverse opinion NOT be issued?

Committing a fraud because the employee feels "I deserve a pay raise. The company owes this to me" is related to what part of the Fraud Triangle?

An audit trail:

Which of the following is NOT part of the Fraud Triangle?

Separation of duties is part of the control environment of an internal control system.

An employee who pockets cash received from a customer without recording the transaction is an example of a(n):

In terms of valuation, U.S. GAAP generally uses ________, while IFRS generally uses ________.

Which of the following would NOT be considered a control activity?

A disclaimer of opinion may be considered a red flag by investors.

An employee may embezzle by taking bribes or kickbacks from: