Question 1

Which of the following best describes the purpose of control activities?

Accepted Answer

A)  the actions,policies and procedures that reflect the overall attitudes of management
B)  the identification and analysis of risks relevant to the preparation of financial statements
C)  the policies and procedures that help ensure that necessary actions are taken to address risks to the achievement of the entity's objectives
D)  activities that deal with the ongoing assessment of the quality of internal control by managementE) A) and B)
F) A) and C)

Question 2

Which of the following parties provides an assessment of the effectiveness of internal control over financial reporting for public companies?

Accepted Answer

A)   
B)   
C)   
D)   E) A) and C)
F) A) and D)

Question 3

Processing controls are a category of application controls.

Accepted Answer

A) True 
 B)False

Question 4

In an IT system,automated equipment controls or hardware controls are designed to

Accepted Answer

A)  correct errors in the computer programs.
B)  monitor and detect errors in source documents.
C)  detect and control errors arising from the use of equipment.
D)  arrange data in a logical sequential manner for processing purposes.E) All of the above
F) B) and C)

Question 5

When auditing a client who uses a database management system,the auditor is principally aware of elevated risk due to the fact that

Accepted Answer

A)  multiple users can access and update data files.
B)  the accounting information is only in one place.
C)  the database administrator may lack appropriate accounting knowledge.
D)  multiple users could all access the data simultaneously causing a system shutdown.E) A) and C)
F) A) and B)

Question 6

It is important for the CPA to consider the competence of the clients' personnel because their competence has a direct impact upon the

Accepted Answer

A)  cost/benefit relationship of the system of internal control.
B)  achievement of the objectives of internal control.
C)  comparison of recorded accountability with assets.
D)  timing of the tests to be performed.E) A) and B)
F) None of the above

Exam 11: Internal Control and Coso Framework

It is important for the CPA to consider the competence of the clients' personnel because their competence has a direct impact upon the

Correct Answer
verified

Processing controls are a category of application controls.

Correct Answer
verified

Which of the following best describes the purpose of control activities?

Correct Answer
verified

In an IT system,automated equipment controls or hardware controls are designed to

Correct Answer
verified

When auditing a client who uses a database management system,the auditor is principally aware of elevated risk due to the fact that

Correct Answer
verified

Which of the following parties provides an assessment of the effectiveness of internal control over financial reporting for public companies?

Correct Answer
verified

Exam 11: Internal Control and Coso Framework

It is important for the CPA to consider the competence of the clients' personnel because their competence has a direct impact upon the

Correct AnswerverifiedShow Answer

Processing controls are a category of application controls.

Correct AnswerverifiedShow Answer

Which of the following best describes the purpose of control activities?

Correct AnswerverifiedShow Answer

In an IT system,automated equipment controls or hardware controls are designed to

Correct AnswerverifiedShow Answer

When auditing a client who uses a database management system,the auditor is principally aware of elevated risk due to the fact that

Correct AnswerverifiedShow Answer

Which of the following parties provides an assessment of the effectiveness of internal control over financial reporting for public companies?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
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