FHF 14 INTERNAL CONTROL OVER FINANCIAL

Question 1

Processes implemented by a company’s management to ensure the reliability of financial reports, compliance with laws and regulations, and operational effectiveness and efficiency.

Answer 1

internal control

Question 2

An intentional act by one or more individuals to deceive

Answer 2

fraud

Question 3

A group of individuals who together are responsible for setting strategic direction and overseeing the affairs of an organization

Answer 3

governing board

Question 4

legal obligation to adhere to a standard of reasonable care while performing acts that could foreseeably harm others

Answer 4

duty of care

Question 5

legal requirement for members of the governing board to put the organization’s needs above their own

Answer 5

duty of loyalty

Question 6

A legal requirement that the governing board obey all laws and be faithful to the mission and bylaws of the organization

Answer 6

duty of obedience

Question 7

Techniques used by healthcare boards to identify and manage risk

Answer 7

enterprise risk management