Question

25. In a large public corporation, evaluating internal control procedures should be responsibility of:

Multiple Choice

a.Accounting management staff who report to the CFO.

b. Operations management staff who report to the chief operation officer.

c. Security management staff who report to the chief facilities officer.

d. Internal audit staff who report to the board of directors.

28.

Management philosophy and operating style would have a relatively less significant influence on a firm's control environment when:

Multiple Choice

• Accurate management job descriptions delineate specific duties.

• The audit committee does not have regular meetings.

• Management is dominated by one individual.

• The internal auditor reports directly to the controller.

Answer 1

Answer to Question 25: In a large corporation, it is responsibility of internal audit staff who report to the board of directors to evaluate internal control procedures. So, Option d is Correct Answer. Answer to Question 28: If there is presence of accurate management job descriptions delineate specific duties, the management philosophy and operating style would have a relatively less significant influence on a firm's control environment. So, Option a is Correct Answer.

Answer 2

ANSWER :

25.

Option d.

[ Internal audit staff has the responsibility to ensure that proper internal control procedures are in place and carried out honestly ]

28.

Option a .

[ If accurate management job descriptions delineate specific duties, desired things will happen automatically and the Management philosophy and operating style may not have to do much]

Answer 3

ANSWER :

25.

Option d.

[ Internal audit staff has the responsibility to ensure that proper internal control procedures are in place and carried out honestly ]

28.

Option a .

[ If accurate management job descriptions delineate specific duties, wanted things will happen automatically and the Management philosophy and operating style may not have to do much]