A system audit examines the company's quality control
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- Question 1 To what does the following relate: The Internal Auditors perform random testing on controls to ensure that they are operating effectively 1. Control activities – access controls 2. Monitoring of controls 3. Inherent limitations – cost vs benefit 4. Inherent limitations – human error, time constraints Question 2 The following is not one of the five components of internal control. 1. Control Environment 2. Entity’s risk assessment process 3. Information system 4. Segregation of duties Question 3 To what does the following relate: All invoices are pre-printed, sequentially numbered, and pre-numbered 1. Control activities – documentation and records 2. Validity of transactions 3. Monitoring of controls 4. Inherent limitations-human error, time constraints Question 4 To what does the following relate: Before a purchase of inventory can be made, it has to be…Please access PCAOB Auditing Standard No. 12 "Identifying and Assessing Risks of Material Misstatements" (pcaobus.org). Use this standard to answer each of the questions below. For each answer, document the paragraph(s) in AS No. 12 supporting your answer. a. What types of information does AS No. 12 suggest the auditor should consider when obtaining an understanding of the company and its environment? b. What types of performance measurements might affect the risk of material misstatement? c. What specific issues should be included in the discussion among engagement team members regarding the risk of material misstatement? d. What factors should the auditor consider to determine if a risk is a "significant risk"? e. What guidance is provided about revising the risk assessment as the audit continues?The temporal order of an audit engagement mirrors the audit risk model. Question 39 options: True False
- Auditing Question 3 A. Discuss the audit expectation gap. Your answer should include the following: the main causes of the expectation gap; its main components; and procedures that can be taken to reduce the expectation gap.Statement 1: As part of obtaining an understanding of internal control, an auditor is required to obtain knowledge about the operating effectiveness of internal control. Statement 2: The auditor obtains an understanding of internal controls to identify the types of potential misstatements that may occur. Group of answer choices A. False, true B. True, false C. False, false D. True, trueAddress the questions in perspective of auditing 1. How can internal auditors use histograms during internal audits? 2. How can management use control charts as part of their ongoing monitoring activities? 3. How can the 5S model be used during an operational audit? 4. How is transporting a waste? Provide an example to support your answer. 5. Describe the impact of defects on organizational success from an internal and external (e.g., competitive) perspective. 6. Describe three reasons why waiting is damaging to organizations. 7. Provide three recommendations to minimize the presence of underutilized employees. 8. Explain the elements of the CCCER/5C model. 9. Explain three methodologies that can help operational auditors find the root cause of operational deficiencies. 10. List three actions that can help to make findings and recommendations more persuasive
- An internal auditor is examining the effectiveness of procedures management established to protect customer data from cyberattacks and whether those procedures are cost effective. This is an example of an operational audit. Question options: True False1C Explain what lapping means, and discuss the internal control deficiency that allows it to occur. Also discuss the procedures the auditor can perform to detect lapping.Management and auditors are responsible for maintaining effective internal control system. * True False
- Question 7 Z scores are: A. Used to evaluate the quality of imaged files B. Used to identify outliers in data C. A fraud score based on ISO standards D. Issued by the SEC to identify public companies that are experiencing risk assurance problem ReplyForwardAuditors can help avoid litigation by implementing policies and procedures that ensure all work is fully documented Question 7 options: True FalseFurther audit procedures include: Risk assessment procedures Tests of controls A. B. فن فة Yes Yes Yes No C. No Yes D. No No