Internal Control
Which of the following is not an inherent limitation of internal control system?
Management override
Collusion among employees
Inefficiency of internal auditor
Abuse of authority
Inefficiency of internal auditor
Related posts
If the auditor assesses control risk as high ______A. Document the conclusions
B. Documents the reasons along with conclusions
C. Perform tests of control
D. Perform walk through tests
Which of the following are included in test of controls?
A. Performance and observation
B. Inquiry and analytical procedures
C. Comparison and conformation
D. Inspection and verification
In comparison to the independent auditor, an internal auditor is more likely to concerned with:
A. Cost accounting system
B. Internal control system
C. Legal compliance
D. Accounting system
The primary purpose of performing tests of control is to provide reasonable assurance that _____
A. If internal control is effective
B. Accounting system is well documented
C. Written evidence is there to support transactions
D. None of these
The overall attitude and awareness of an entity’s a board of directors concerning the importance of internal control is reflected in:
A. Accounting controls
B. Control environment
C. Control procedures
D. Supervision
Tests of control are not concerned with:
A. Existence of controls
B. Effectiveness of controls
C. Continuity of controls
D. Designing of controls
Proper segregation of duties reduces the opportunities in which a person welt both:
A. Establish controls and executes them
B. Records cash receipts and cash payments
C. Perpetuate errors and frauds and conceals them
D. Record the transaction in journal and ledger
Leave a Reply