AUD 3 Internal Control 4 Flashcards
1
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions relate to Events and Transactions that occurred during the period of audit, as generally presented on an entity’s income statement (CPA-CO).
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
If all revenue and expenses are properly reported, the CPA-CO will have no problem preparing your taxes.
———– 2nd Category ————-
The next 4 assertions relate to Account Balances, amounts reported as of the date of the financial statements, as generally presented on the balance sheet (RACE).
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
If an entity has a healthy balance sheet, it is running at good RACE.
———– 3rd Category ————-
The final 5 assertions relate to the Presentation of the financial statements and the financial statement Disclosures (RACOU–n (Raccoon).
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
Raccoons (RACOU-n’s) are always presenting and disclosing my garbage at night!!
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions relate to Events and Transactions that occurred during the period of audit, as generally presented on an entity’s income statement (CPA-CO).
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
If all revenue and expenses are properly reported, the CPA-CO will have no problem preparing your taxes.
———– 2nd Category ————-
The next 4 assertions relate to Account Balances, amounts reported as of the date of the financial statements, as generally presented on the balance sheet (RACE).
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
If an entity has a healthy balance sheet, it is running at good RACE.
———– 3rd Category ————-
The final 5 assertions relate to the Presentation of the financial statements and the financial statement Disclosures (RACOU–n (Raccoon).
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
Raccoons (RACOU-n’s) are always presenting and disclosing my garbage at night!!
2
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
A
Internal Control
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
3
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on in____ statement
CPA-CO
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
4
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
- C___________
- P_____ C_____
- A________
- C__________
- O__________
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
5
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 2nd Category ————-
The next 4 assertions
presented on the ba____e sheet
RACE
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
6
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
- R______ and O_________
- A________ and V_________
- C___________
- E__________
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
7
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Dis_____es
RACOU–n (Raccoon)
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
8
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
- R______ and O_________
- A_______ and V________
- C___________
- O________
- U___________ and C___________
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
9
Q
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
A
Internal Control
There are several assertions, some of which overlap one another, classified into 3 categories.
———– 1st Category ————-
The first 5 assertions
presented on income statement
CPA-CO
- Completeness
- Period Cutoff
- Accuracy
- Classification
- Occurrence
———– 2nd Category ————-
The next 4 assertions
presented on the balance sheet
RACE
- Rights and Obligations
- Allocation and Valuation
- Completeness
- Existence
———– 3rd Category ————-
The final 5 assertions
Presentation of the financial statements
and the financial statement Disclosures
RACOU–n (Raccoon)
- Rights and Obligations
- Accuracy and Valuation
- Completeness
- Occurrence
- Understandability and Classification
10
Q
Internal Control
The a______ is looking for the presence of useful controls: the strengths in the system.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
11
Q
Internal Control
The auditor is looking for the presence of use___ controls: the strengths in the system.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
12
Q
Internal Control
The auditor is looking for the presence of useful controls: the str______s in the system.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
13
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the sys___.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
14
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by m___________t that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
15
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement ass_______s and which are meant to produce accurate financial records and safeguarding of assets.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
16
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce acc_____ financial records and safeguarding of assets.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
17
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial re_____s and safeguarding of assets.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
18
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safe_____ing of assets.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
19
Q
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of as____s.
A
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
20
Q
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement ass_______s.
A
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
21
Q
Internal Control
Those c_______s designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
A
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
22
Q
Internal Control
Those controls designed to enable adherence to l__s and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
A
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
23
Q
Internal Control
Those controls designed to enable adherence to laws and regulations and promote eff_______y in the organization are usually not relevant to the financial statement assertions.
A
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
24
Q
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the f_______ statement assertions.
A
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
25
Internal Control
Those controls designed to enable adherence to laws and reg________s and promote efficiency in the organization are usually not relevant to the financial statement assertions.
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
26
Internal Control
Those controls designed to enable adh______e to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
Internal Control
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
27
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is pr______ly formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
Internal Control
The auditor is looking for the presence of useful controls: the strengths in the system.
The system is primarily formed by those controls designed by management that relate to the financial statement assertions and which are meant to produce accurate financial records and safeguarding of assets.
Those controls designed to enable adherence to laws and regulations and promote efficiency in the organization are usually not relevant to the financial statement assertions.
28
Internal Control
To ensure that only sales that actually occ___ed are recorded in the sales journal,
the occurrence assertion,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
29
Internal Control
To ensure that only sales that actually occurred are recorded in the s___s journal,
the occurrence assertion,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
30
Internal Control
To ensure that only sales that actually occurred are recorded in the sales jou____,
the occurrence assertion,
the entity may establish a co______ requiring that
sales be recorded in the sales journal
only when there is ..........
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is ............
31
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
s___s be recorded in the sales journal
only when there is ..........
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is ...........
32
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be re____ed in the sales journal
only when there is ...........
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is .............
33
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales jo____l
only when there is ..........
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
```
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
```
34
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer or___ form,
a sales or___ form,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
```
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
```
35
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a cus_____ order form,
a sales order form,
a shipping report,
and an invoice,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
36
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a s___s order form,
a shipping report,
and an invoice,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
37
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a sh___ing report,
and an invoice,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
38
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping re___t,
and an invoice,
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
39
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an in_____,
all of which agree as to the goods that were sold
and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
40
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which ag___ as to the goods that were sold
and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
41
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the go__s that were sold
and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
42
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the pr___ to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
43
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be rec___ed for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
44
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
a__ of which agree as to the goods that were sold
and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
45
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence ass___ion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal,
the occurrence assertion,
the entity may establish a control requiring that
sales be recorded in the sales journal
only when there is
a customer order form,
a sales order form,
a shipping report,
and an invoice,
all of which agree as to the goods that were sold
and the price to be received for them.
46
Internal Control
To ensure that only sales that actually occ___ed are recorded in the sales journal, the occurrence assertion,
the entity may establish a control requiring that sales be recorded in the sales journal
only when there is a customer order form, a sales order form, a shipping report, and an invoice,
all of which agree as to the goods that were sold and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occurrence assertion,
the entity may establish a control requiring that sales be recorded in the sales journal
only when there is a customer order form, a sales order form, a shipping report, and an invoice,
all of which agree as to the goods that were sold and the price to be received for them.
47
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occ___ence assertion,
the entity may establish a control requiring that sales be recorded in the sales journal
only when there is a customer order form, a sales order form, a shipping report, and an invoice,
all of which agree as to the goods that were sold and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occurrence assertion,
the entity may establish a control requiring that sales be recorded in the sales journal
only when there is a customer order form, a sales order form, a shipping report, and an invoice,
all of which agree as to the goods that were sold and the price to be received for them.
48
Internal Control
To ensure that only sales that actually occurred are re____ed in the sales journal, the occurrence assertion, the entity may establish a control requiring that sales be recorded in the sales journal only when there is a customer order form, a sales order form, a shipping report, and an invoice, all of which agree as to the goods that were sold and the price to be received for them.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occurrence assertion, the entity may establish a control requiring that sales be recorded in the sales journal only when there is a customer order form, a sales order form, a shipping report, and an invoice, all of which agree as to the goods that were sold and the price to be received for them.
49
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness ass____ion,
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
50
Internal Control
To ensure that all s___s that actually occur are recorded,
the completeness assertion,
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion, .
51
Internal Control
To ensure that all sales that actually occur are re____ed,
the completeness assertion,
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of sequence.
52
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the en___y may require the use of prenumbered sales order forms
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
53
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of pre______ed sales order forms
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
54
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered s___s order forms
and account for all forms,
including making certain that none are out of sequence.
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of sequence.
55
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for a__ forms,
including making certain that none are out of sequence.
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of sequence.
56
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales or___ forms
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
57
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of seq_____e.
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of sequence.
58
Internal Control
To ensure that all sales that actually occur are recorded,
the com_____ness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of sequence.
Internal Control
To ensure that all sales that actually occur are recorded,
the completeness assertion,
the entity may require the use of prenumbered sales order forms
and account for all forms,
including making certain that none are out of sequence.
59
Internal Control
To ensure that all sales that ac______y occur are recorded, the completeness assertion,
the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
Internal Control
To ensure that all sales that actually occur are recorded, the completeness assertion,
the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
60
Internal Control
To ensure that all sales that actually occur are recorded, the completeness assertion,
the entity may require the use of pre_____red sales order forms and account for all forms, including making certain that none are out of sequence.
Internal Control
To ensure that all sales that actually occur are recorded, the completeness assertion,
the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
61
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occur___ce assertion, the entity may establish a control requiring that sales be recorded in the sales journal only when there is a customer order form, a sales order form, a shipping report, and an invoice, all of which agree as to the goods that were sold and the price to be received for them.
To ensure that all sales that actually occur are recorded, the comp_____ess assertion, the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occurrence assertion, the entity may establish a control requiring that sales be recorded in the sales journal only when there is a customer order form, a sales order form, a shipping report, and an invoice, all of which agree as to the goods that were sold and the price to be received for them.
To ensure that all sales that actually occur are recorded, the completeness assertion, the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
62
Internal Control
Only s___s that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
63
Internal Control
Only sales that actually Occurred are Recorded in the s___s journal
= Occurrence Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
64
Internal Control
Only sales that actually O______ed are Recorded in the sales journal
= Occurrence Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
65
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
66
Internal Control
Only sales that actually Occurred are R_____ed in the sales journal
= Occurrence Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
67
Internal Control
Only sales that actually Occurred are Recorded in the sales jo_____
= Occurrence Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
68
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= O_________ Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
69
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= O_________ Assertion
Internal Control
Only sales that actually Occurred are Recorded in the sales journal
= Occurrence Assertion
70
Internal Control
O_________ Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
71
Internal Control
Occurrence Assertion
To ensure that only s___s that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
72
Internal Control
___________ Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer or___ form,
a sales order form,
a shipping report, and
an invoice,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
73
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales or___ form,
a shipping report, and
an invoice,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
74
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an inv____,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
75
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a sh___ing report, and
an invoice,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
76
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal o___y when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
Internal Control
Occurrence Assertion
To ensure that only sales that actually occurred are recorded in the sales journal
example of control
recorded in the sales journal only when there is
a customer order form,
a sales order form,
a shipping report, and
an invoice,
77
Internal Control
All s___s that actually occur are Recorded
= Completeness Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
78
Internal Control
All sales that actually occur are Re____ed
= Completeness Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
79
Internal Control
A__ sales that actually occur are Recorded
= Completeness Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
80
Internal Control
All sales that actually occ__ are Recorded
= Completeness Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
81
Internal Control
All sales that actually occur are Recorded
= Comp________ Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
82
Internal Control
All sales that actually occur are Recorded
= C__________ Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
83
Internal Control
___ sales that actually occur are Recorded
= Completeness Assertion
Internal Control
All sales that actually occur are Recorded
= Completeness Assertion
84
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are rec___ed,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
85
Internal Control
Completeness Assertion
To ensure that all s___s that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
86
Internal Control
Completeness Assertion
To ensure that all sales that actually occ__ are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
87
Internal Control
Completeness Assertion
To ensure that a__ sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
88
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Re____e the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
89
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of pren_____ed sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
90
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order f___s
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
91
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of pre______red sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
92
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that n___ are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
93
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of se____ce
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
94
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are o__ of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
95
Internal Control
Com________ss Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
96
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
Internal Control
Completeness Assertion
To ensure that all sales that actually occur are recorded,
Example of control
Require the use of prenumbered sales order forms
making certain that none are out of sequence
97
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the o_________ assertion,
the entity may establish a control requiring that sales be recorded in the sales journal only when there is a customer order form, a sales order form, a shipping report, and an invoice, all of which agree as to the goods that were sold and the price to be received for them.
To ensure that all sales that actually occur are recorded, the c_________ assertion,
the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
Internal Control
To ensure that only sales that actually occurred are recorded in the sales journal, the occurrence assertion,
the entity may establish a control requiring that sales be recorded in the sales journal only when there is a customer order form, a sales order form, a shipping report, and an invoice, all of which agree as to the goods that were sold and the price to be received for them.
To ensure that all sales that actually occur are recorded, the completeness assertion,
the entity may require the use of prenumbered sales order forms and account for all forms, including making certain that none are out of sequence.
98
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by C___.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
99
The most commonly used fr_______k to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
100
The most commonly used framework to be_______k internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
101
The most com___ly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
102
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Int______ed Framework developed by COSO.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
103
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Fr______rk developed by COSO.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
104
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework dev____ed by COSO.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
105
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by _____.
The most commonly used framework to benchmark internal controls in the US is
Internal Control – Integrated Framework developed by COSO.
106
Internal Control
The most commonly used framework to benchmark internal controls in the US is Internal Control – Integrated Framework developed by COSO.
COSO des____es internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
Internal Control
The most commonly used framework to benchmark internal controls in the US is Internal Control – Integrated Framework developed by COSO.
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
107
Internal Control
COSO describes i_______ control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
Internal Control
The most commonly used framework to benchmark internal controls in the US is Internal Control – Integrated Framework developed by COSO.
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
108
Internal Control
COSO describes internal c______l as:
A process,
effected by the entity’s board of directors, management, and other personnel
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
109
Internal Control
COSO describes internal control as:
A pr___ss,
effected by the entity’s board of directors, management, and other personnel
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
110
Internal Control
COSO describes internal control as:
A process,
effected by the e____y’s board of directors, management, and other personnel
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
111
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of di______s, management, and other personnel
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
112
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, m_________t, and other personnel
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
113
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other per______l
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
114
Internal Control
COSO describes internal control as:
A process,
ef___ted by the entity’s board of directors, management, and other personnel
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
115
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide re________e assurance
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
116
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to pro____ reasonable assurance
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
117
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable ass_____e
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
118
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
de____ed to provide reasonable assurance
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
119
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of ob_______es
in the categories of
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
120
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the ach________t of objectives
in the categories of
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
121
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the ca______ies of
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
122
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial re____ing,
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
123
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and re_____e financial reporting,
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
124
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Acc_____ and reliable financial reporting,
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
125
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable f_______ reporting,
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
126
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
127
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable l__s and regulations, and
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
128
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with app_______e laws and regulations, and
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
129
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and reg_______s, and
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
130
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Com_______e with applicable laws and regulations, and
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
131
Internal Control
COSO describes internal control as:
A pr___ss,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
132
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Eff_______ess and efficiency of operations
(ACE).
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
133
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and eff______y of operations
(ACE).
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
134
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of ope_____ns
(ACE).
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
135
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness a__ efficiency of operations
(ACE).
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
136
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(A__).
Internal Control
COSO describes internal control as:
A process,
effected by the entity’s board of directors, management, and other personnel
designed to provide reasonable assurance
regarding the achievement of objectives
in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
(ACE).
137
Internal Control
COSO describes internal control as:
A process, effected by the entity’s board of directors, management, and other personnel de____ed to provide reasonable assurance regarding the achievement of objectives in the categories of
(1) A = Accurate and reliable financial reporting,
(2) C = Compliance with applicable laws and regulations, and
(3) E = Effectiveness and efficiency of operations
(ACE).
Internal Control
COSO describes internal control as:
A process, effected by the entity’s board of directors, management, and other personnel designed to provide reasonable assurance regarding the achievement of objectives in the categories of
(1) A = Accurate and reliable financial reporting,
(2) C = Compliance with applicable laws and regulations, and
(3) E = Effectiveness and efficiency of operations
(ACE).
138
Internal Control
COSO describes internal control as:
A process, effected by the entity’s board of directors, management, and other personnel designed to provide reasonable assurance regarding the achievement of objectives in the cat_____es of
(1) A = Accurate and reliable financial reporting,
(2) C = Compliance with applicable laws and regulations, and
(3) E = Effectiveness and efficiency of operations
(ACE).
Internal Control
COSO describes internal control as:
A process, effected by the entity’s board of directors, management, and other personnel designed to provide reasonable assurance regarding the achievement of objectives in the categories of
(1) A = Accurate and reliable financial reporting,
(2) C = Compliance with applicable laws and regulations, and
(3) E = Effectiveness and efficiency of operations
(ACE).
139
Internal Control
C___ describes internal control as:
A PROCESS, effected by the entity’s board of directors, management, and other personnel DESIGNED to provide REASONABLE assurance regarding the achievement of objectives in the categories of
(1) A = Accurate and reliable financial reporting,
(2) C = Compliance with applicable laws and regulations, and
(3) E = Effectiveness and efficiency of operations
(ACE).
Internal Control
COSO describes internal control as:
A PROCESS, effected by the entity’s board of directors, management, and other personnel DESIGNED to provide REASONABLE assurance regarding the achievement of objectives in the categories of
(1) A = Accurate and reliable financial reporting,
(2) C = Compliance with applicable laws and regulations, and
(3) E = Effectiveness and efficiency of operations
(ACE).
140
COSO describes internal control
ACE =
(1) A______ and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
141
COSO describes internal control
ACE =
(1) Accurate and re______ financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
142
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) C________ with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
143
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable l__s and regulations, and
(3) Effectiveness and efficiency of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
144
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and r________s, and
(3) Effectiveness and efficiency of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
145
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Eff_________ and efficiency of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
146
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and eff_______ of operations
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
147
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of o_________
COSO describes internal control
ACE =
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and
(3) Effectiveness and efficiency of operations
148
Internal Control
The most commonly used fr_______k to benchmark internal controls in the US is Internal Control – Integrated Framework developed by COSO.
COSO describes internal control as:
A PROCESS, effected by the entity’s board of directors, management, and other personnel DESIGNED to provide REASONABLE assurance regarding the achievement of objectives in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and (3) Effectiveness and efficiency of operations
(ACE).
Internal Control
The most commonly used framework to benchmark internal controls in the US is Internal Control – Integrated Framework developed by COSO.
COSO describes internal control as:
A PROCESS, effected by the entity’s board of directors, management, and other personnel DESIGNED to provide REASONABLE assurance regarding the achievement of objectives in the categories of
(1) Accurate and reliable financial reporting,
(2) Compliance with applicable laws and regulations, and (3) Effectiveness and efficiency of operations
(ACE).
149
Internal Control
• M_________t is responsible for the development, implementation and maintenance (DIM) of Internal controls.
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
150
Internal Control
• Management is responsible for the d_________, implementation and maintenance (DIM) of Internal controls.
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
151
Internal Control
• Management is responsible for the development, i___________ and maintenance (DIM) of Internal controls.
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
152
Internal Control
• Management is responsible for the development, implementation and m__________ (DIM) of Internal controls.
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
153
Internal Control
• Management is re_________ for the development, implementation and maintenance (DIM) of Internal controls.
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
154
Internal Control
• Management is responsible for the development, implementation and maintenance (D__) of Internal controls.
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
155
DIM = D_________, Implementation and Maintenance
DIM = Development, Implementation and Maintenance
156
DIM = Development, I___________ and Maintenance
DIM = Development, Implementation and Maintenance
157
DIM = Development, Implementation and M_____________
DIM = Development, Implementation and Maintenance
158
DIM = D___________, I___________ and Maintenance
DIM = Development, Implementation and Maintenance
159
DIM = D___________, I___________ and M_____________
DIM = Development, Implementation and Maintenance
160
DIM =
DIM = Development, Implementation and Maintenance
161
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The a______ seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
162
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable ass_______ that Internal controls are achieving certain Objectives (ACE):
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
163
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are ac____ing certain Objectives (ACE):
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
164
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o A_________ and Reliable financial reporting
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
165
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and R______ financial reporting
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
166
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial re____ing
o Compliance with laws and regulations
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
167
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o C________ with laws and regulations
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
168
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with l__s and reg_______s
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
169
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and eff______y of operations
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
170
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and eff______y of operations
Internal Control
• Management is responsible for the development, implementation and maintenance (DIM) of Internal controls.
The auditor seeks reasonable assurance that Internal controls are achieving certain Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
171
Internal Control
The mnemonic ACE will remind management that
it should try to establish a strong i______ control structure so as to have an ACE in the hole.
Internal Control
The mnemonic ACE will remind management that
it should try to establish a strong internal control structure so as to have an ACE in the hole.
172
Internal Control
The mnemonic ACE will remind management that
it should try to establish a strong internal control stru______ so as to have an ACE in the hole.
Internal Control
The mnemonic ACE will remind management that
it should try to establish a strong internal control structure so as to have an ACE in the hole.
173
Internal Control
The mnemonic ACE will remind m_________ that
it should try to establish a strong internal control structure so as to have an A___ in the hole.
Internal Control
The mnemonic ACE will remind management that
it should try to establish a strong internal control structure so as to have an ACE in the hole.
174
Internal Control
Obj______s (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
The mnemonic ACE will remind management that it should try to establish a strong internal control structure so as to have an ACE in the hole.
Internal Control
Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
The mnemonic ACE will remind management that it should try to establish a strong internal control structure so as to have an ACE in the hole.
175
Internal Control
Obj______s (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
The mnemonic ACE will remind management that it should try to establish a strong internal control structure so as to have an ACE in the hole.
Internal Control
Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
The mnemonic ACE will remind management that it should try to establish a strong internal control structure so as to have an ACE in the hole.
176
Internal Control
Objectives (___):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
The mnemonic ACE will remind management that it should try to establish a strong internal control structure so as to have an ACE in the hole.
Internal Control
Objectives (ACE):
o Accurate and Reliable financial reporting
o Compliance with laws and regulations
o Effectiveness and efficiency of operations
The mnemonic ACE will remind management that it should try to establish a strong internal control structure so as to have an ACE in the hole.
177
Internal Control
The primary interest of the outside a_____ is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
178
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the f___ presentation of the financial statements being audited.
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
179
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair pre_______ of the financial statements being audited.
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
180
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being au___ed.
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
181
Internal Control
The pri___y interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
Internal Control
The primary interest of the outside auditor is in the first objective,
accurate and reliable financial reporting,
which relate to the fair presentation of the financial statements being audited.
182
Internal Control
The second goal,
compliance with l__s and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under government auditing standards.
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under government auditing standards.
183
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to com_______ auditing,
which may occur in connection with audits under government auditing standards.
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under government auditing standards.
184
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under gov_______t auditing standards.
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under government auditing standards.
185
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under government au___ing standards.
Internal Control
The second goal,
compliance with laws and regulations,
is primarily relevant to compliance auditing,
which may occur in connection with audits under government auditing standards.
186
Internal Control
The primary interest of the outside auditor is in the first objective, accurate and reliable financial reporting, which relate to the fair presentation of the financial statements being audited.
The se____ goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
Internal Control
The primary interest of the outside auditor is in the first objective, accurate and reliable financial reporting, which relate to the fair presentation of the financial statements being audited.
The second goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
187
Internal Control
The primary in______ of the outside auditor is in the first objective, accurate and reliable financial reporting, which relate to the fair presentation of the financial statements being audited.
The second g___, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
Internal Control
The primary interest of the outside auditor is in the first objective, accurate and reliable financial reporting, which relate to the fair presentation of the financial statements being audited.
The second goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
188
Internal Control
The financial statement a_____ would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
189
Internal Control
The financial statement auditor would, however, be concerned about com______ with those laws and regulations that could have a material direct or indirect effect on the financial statements.
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
190
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a m_______ direct or indirect effect on the financial statements.
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
191
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material di_____ or indirect effect on the financial statements.
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
192
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or ind_____ effect on the financial statements.
Internal Control
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
193
Internal Control
The second goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
The financial statement auditor would, however, be con____ed about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
Internal Control
The second goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
194
Internal Control
The second goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial st_________ts.
Internal Control
The second goal, compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
195
Internal Control
The third g___,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
196
Internal Control
The third goal,
promoting eff_______ss and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
197
Internal Control
The third goal,
promoting effectiveness and eff_____y of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
198
Internal Control
The third goal,
promoting effectiveness and efficiency of ope______s,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
199
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement a______,
but is addressed in consulting engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
200
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the f_______ statement auditor,
but is addressed in consulting engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
201
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in con____ing engagements and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
202
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting en________s and operational audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
203
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and op_____nal audits.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
204
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational a____s.
Internal Control
The third goal,
promoting effectiveness and efficiency of operations,
is generally not addressed by the financial statement auditor,
but is addressed in consulting engagements and operational audits.
205
Internal Control
The third goal, pro___ing effectiveness and efficiency of operations, is generally not addressed by the financial statement auditor, but is addressed in consulting engagements and operational audits.
Internal Control
The third goal, promoting effectiveness and efficiency of operations, is generally not addressed by the financial statement auditor, but is addressed in consulting engagements and operational audits.
206
Internal Control
The third goal, promoting effectiveness and efficiency of operations, is generally n__ addressed by the financial statement auditor, but is addressed in consulting engagements and operational audits.
Internal Control
The third goal, promoting effectiveness and efficiency of operations, is generally not addressed by the financial statement auditor, but is addressed in consulting engagements and operational audits.
207
Internal Control
The primary interest of the outside auditor is in the first objective, (A) Accurate and Reliable financial reporting, which relate to the fair presentation of the financial statements being audited.
The second goal, (C) Compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
The third goal, promoting (E) Effectiveness and efficiency of operations, is generally not addressed by the financial statement auditor, but is addressed in consulting engagements and operational audits.
Internal Control
The primary interest of the outside auditor is in the first objective, (A) Accurate and Reliable financial reporting, which relate to the fair presentation of the financial statements being audited.
The second goal, (C) Compliance with laws and regulations, is primarily relevant to compliance auditing, which may occur in connection with audits under government auditing standards.
The financial statement auditor would, however, be concerned about compliance with those laws and regulations that could have a material direct or indirect effect on the financial statements.
The third goal, promoting (E) Effectiveness and efficiency of operations, is generally not addressed by the financial statement auditor, but is addressed in consulting engagements and operational audits.
208
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
209
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the F___ presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
210
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to C__________ auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
211
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OP_________ audits
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
212
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in C_________ engagements and OPERATIONAL audits
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
213
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(gov________ auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
Internal Control
(A) Accurate and Reliable financial reporting
-- > relate to the FAIR presentation of the financial statements being audited
(C) Compliance with laws and regulations
--> relevant to COMPLIANCE auditing
(government auditing standards)
(E) Effectiveness and efficiency of operations
--> addressed in CONSULTING engagements and OPERATIONAL audits
