True or False
Even a good system of internal controls can be circumvented by collusion among employees.
True or False Even a good system of internal controls can be circumvented by collusion among...
Internal controls: Question 3 options A) are not subject to collusion. B) are never affected by fatigue and negligence. C) can never be beat. D) can be circumvented. A receiving report: Question 1 options: A) identifies that the merchandise has been received and ends the purchasing process. B) is sent by the purchasing department to the customer who purchases the item. C) identifies the need for merchandise and begins the purchasing process. D) includes the invoice, receiving report, purchase order...
Identify each of the following statements as either true or false a. A voucher system of control is a control system exclusively for cash receipts b. Separation of duties eliminates the possibility of collusion to steal an asset and hido the theft from the records c Good internal control is to have only one employee be assigned the task of opening mail d. A petty cash system of control is a system used only for cash receipts. False True
A manager allows a large shipment of goods to a customer with unacceptable credit, even though the entity has an internal control in place to prevent this. Which term best describes this situation? Management deficiency Monitoring activity Management override Fraud risk What is NOT an inherent limitation of all internal control systems? Limits of human judgment Management override of controls Cost of segregation of duties Collusion of personnel Which is NOT a...
After assessing internal controls are being effective in the sales and collection cycle, the auditor can assume that internal controls will be effective at each of the client’s other transaction cycles. True or False
true or false: even if there are no frictions or transaction costs, the same good in 2 different locations can sell for different locations.
Advertising and firm location are examples of tacit collusion. True or False
A system of internal control can be rendered ineffective by employee collusion. is infallible. invariably will have costs exceeding benefits. is premised on the concept of absolute assurance. The Sarbanes-Oxley Act applies to: a) all U.S. companies listed on U.S. exchanges. b) all companies that list stock on any stock exchange in any country. c) all European companies listed on European exchanges. d) both (a) and (c).
QUESTION 10 The somatic system controls voluntary skeletal muscle movement. True False
1.PCAOB has oversight over external and internal auditors. A. True B. False 2. The primary objective of the PCAPB is to provide oversight over public companies that file their financials with the Securities and Exchange Commission A. True B. False 3. Auditing standards require that the firms have a system of quality controls to assure itself of compliance with auditing standards. A True B. False 4. An Auditors' opinion on internal controls over financial reporting is: A. As of the...
question # 41 Indicate whether the following statement regarding internal control is true or false. Computer systems have eliminated the need for internal controls in business True or False True False