Identify Whether the Following High Risk Conditions Are an Example

Essay

Identify whether the following high risk conditions are an example of incentives/pressures, opportunities or attitudes/rationalisation risk factors:
1.The company is very vulnerable to interest rate fluctuations
2.Management has significant financial interests in the entity
3.Many asset values are based on significant estimates that involve subjective judgements
4.Management does not place a high priority on ethical standards
5.Management shows an excessive interest in increasing the entity's share price
6.The organisational structure is overly complex
7.There is a high turnover of internal audit and information technology staff
8.The entity's industry is highly competitive
9.Internal controls are not effectively monitored
10. Management attempts to justify marginal or inappropriate accounting on the basis of materiality on a recurring basis.