Which of the following statements is characteristic of monitoring activities within the internal control system? Monitoring of the internal control system is the responsibility of the company’s external auditors. Monitoring of internal control activities is not required if the company hires honest, ethical employees. Monitoring of the internal control system is the responsibility of management. The board of directors need not be concerned with results of the monitoring of the internal control system.

Q: what are some examples of internal controls? How are internal controls related to the Sarbanes-Oxley…

A: Internal Control: In an organization, internal control is a procedure carried out by the entity's…

Q: Who has responsibility for internal control in an organization? According to guidelines set forth in…

A: Sarbanes Oxley Act: In order to protect the rights of an investor from fraudulent practices by the…

Q: For each of the situations described below, identify the category of threat to the fundamental…

A: a) An auditor has shares in a company which is an audit client of theirs.Category of Threat:…

Q: Jamie is an auditor. While preparing to audit his client, FoodCourt, he finds a weakness in the…

A: Auditing is the process that is followed by a business to check the accuracy of the financial…

Q: Which of the following control objectives in the General Ledger activities under the…

A: R2R is a Finance and Accounting (F&A) management process that entails gathering, analysing, and…

Q: nich of the following is not stated as a primary objective of a company's internal control policies…

A: Internal control is an organization is designed and implemented by management.

Q: Management is primarily responsible for maintaining effective internal control and ensuring the…

A: If management does not create an effective control environment, the company may face financial…

Q: $1: In addition to controls being specific, they may be broad, such as policies regarding code of…

A: Internal control is a process, put in place by an entity which is designed in such a way to provide…

Q: Both management's responsibility and the auditor's opinion on internal controls are stated in the…

A: False. The management's responsibility for internal control and the auditor's opinion on internal…

Q: audit engagement

A: Statement 1 is correct because an audit engagement is opinion based. The auditor conducts the…

Q: Risk assessment is carried out by the organization to identify, analyze and manage relevant risks.…

A: A word used to describe the total process or approach of identifying hazards and risk variables that…

Q: Why is it important for auditors to consider the possibility of fraud by employees or management on…

A: There is a possibility of the occurrence of fraud by the employees or management of the company.…

Q: A company implements internal controls to improve the chances that employee will function according…

A: SOLUTION- Internal controls are the mechanisms, rules, and procedures implemented by a company to…

Q: The auditor only obtains understanding of internal control related to significant risks identified…

A: Internal control process is related with effective and efficient use of available resources and it…

Q: TRUE OR FALSE In executing their governance responsibilities, audit committees frequently interact…

A: Business entities are required to conduct an audit of their financial statements, so as to know…

Q: Which of the following statements relating to internal and external auditors is correct? i. Internal…

A: Auditing is a process of examining the financial statements and internal control system of an…

Q: KPMG is the auditor for a company under IESBA rules and cannot assume a management responsibility…

A: Auditing refers to an independent examination of financial records with a view to provide an opinion…

Q: Indicate the COOO component that matches with each of the following internal control activities.…

A: Internal control is a series of activities based on an organization's standard procedures that aim…

Q: Internal auditors are individuals from outside CPA firms that come into your business to perfom an…

A: Auditors: These are the persons who are appointed by the company in case of internal audit and…

Q: Internal audit aims to conduct systematic scrutiny of records. Internal audit is described as…

A:

Q: Which of the following is not considered to be part of the internal control structure of a…

A: Every business organisation has its own objectives and goals. Business wants to achieve that goals…

Q: A company have a corporate code of ethics that prohibit employees from taking gifts from customer…

A: Control procedures: These are specific actions that are taken to mitigate identified risks and…

Q: When employees have a conflict of interest between their personal compensation and provision of…

A: Management and owners of a company are different. Management is compensated in order to run the…

Q: Comment on the effectiveness of this organizational structur

A: Internal Audit: Internal audit is the process by which organization assures the compliance of rules…

Q: According to the Institute of Internal Auditors (IIA), Internal Auditors should play a key role in…

A: The IIA in their paper specified internal audit’s role in relation with ERM. Roles to be performed…

Q: External auditors are very important gatekeepers. What was the cause of the breakdown in the…

A: Auditing can be defined as the verification and examination of the financial statement that is…

Q: Auditor conducts employee interview as a part of evaluation of internal control a. To understand…

A: The answer for the multiple choice question and relevant explanation are presented hereunder :

Q: Explain the reasons why internal auditors should or should not report their findings on internal…

A: Internal Auditor: An independent professional within an organization who evaluates and provides…

Q: Which of the following statements is false when a company’s internal audit department is asked to…

A: If a company decides to have its internal audit department engage in consulting work, it's important…

Q: explain each choices. Reportable conditions are matters that come to an auditor's attention and that…

A: Internal  Control: An entity's board of directors, management, and other people are the ones who…

Q: nternal control should be designed to provide reasonable assurance that       a. Management’s…

A: Auditing refers to the procedure of evaluating and analyzing the books of accounts prepared and…

Q: Assume that management had determined that its organization’saudit committee is not effective. How…

A: Here discuss about the details of weakness of the Audit committee which are affected into the…

Q: An auditor is required to communicate significant deficiencies in internal control to Audit…

A: Internal Control: An entity's board of directors, management, and other people are the ones who…

Q: Which of the following is not an implication of PCAOB Auditing Standard No. 5 and Section 404 of the…

A: It is a process implemented by organizations to provide reasonable assurance of achieving their…

Q: Auditors of both public companies and private entities _______.     A. have a responsibility to…

A: Solution:  Auditors of both public companies and private entities "have a responsibility to report…

Q: When completing the audit of internal controls for a public company, AS 2201 requires auditors to…

A: Internal Control: Internal control is a mechanism or procedure that the company implements so that…

Q: Procedures that can be used in obtaining a sufficient understanding of Internal Control include the…

A: Auditing is a process in which an auditor checks the financial statements of the company whether the…

Q: Which of the following is TRUE about Internal Audit? Internal audit is described as the verification…

A: The role of internal audit is to provide independent assurance that an organization’s risk…