Question 1

The four principal types of fraud include all of the following except

Accepted Answer

A)  bribery 
B)  gratuities 
C)  conflict of interest 
D)  economic extortion 
A)  bribery 
B)  gratuities 
C)  conflict of interest 
D)  economic extortion

Question 2

Para computer ethics is the exposure to stories and reports found in the popular media regarding the good or bad ramifications of computer technology.

Accepted Answer

A) True 
 B)False

Question 3

Section 302 requires the management of public companies to assess and formally report on the effectiveness of their organization's internal controls.

Accepted Answer

A) True 
 B)False

Question 4

List the four broad objectives of the internal control system.

Accepted Answer

safeguard assets,
ensure the a

Question 5

A well-designed purchase order is an example of a

Accepted Answer

A)  preventive control 
B)  detective control 
C)  corrective control 
D)  none of the above 
A)  preventive control 
B)  detective control 
C)  corrective control 
D)  none of the above

Question 6

The trend toward distributed data processing increases the exposure to fraud from remote locations.

Accepted Answer

A) True 
 B)False

Question 7

One characteristic of employee fraud is that the fraud

Accepted Answer

A)  is perpetrated at a level to which internal controls do not apply 
B)  involves misstating financial statements 
C)  involves the direct conversion of cash or other assets to the employee's personal benefit 
D)  involves misappropriating assets in a series of complex transactions involving third parties 
A)  is perpetrated at a level to which internal controls do not apply 
B)  involves misstating financial statements 
C)  involves the direct conversion of cash or other assets to the employee's personal benefit 
D)  involves misappropriating assets in a series of complex transactions involving third parties

Question 8

What are the five internal control components described in the SAS 78 / COSO framework

Accepted Answer

the control environment,risk a

Question 9

Of the three fraud factors (situational pressure,ethics,and opportunity),situational pressure is the factor that actually facilitates the act.

Accepted Answer

A) True 
 B)False

Question 10

Explain the shell company fraud.

Accepted Answer

A shell company fraud first requires tha

Question 11

Employee fraud involves three steps.Of the following,which is not involved?

Accepted Answer

A)  concealing the crime to avoid detection 
B)  stealing something of value 
C)  misstating financial statements 
D)  converting the asset to a usable form 
A)  concealing the crime to avoid detection 
B)  stealing something of value 
C)  misstating financial statements 
D)  converting the asset to a usable form

Question 12

Business ethics involves

Accepted Answer

A)  how managers decide on what is right in conducting business 
B)  how managers achieve what they decide is right for the business 
C)  both a and b 
D)  none of the above 
A)  how managers decide on what is right in conducting business 
B)  how managers achieve what they decide is right for the business 
C)  both a and b 
D)  none of the above

Question 13

How has the Sarbanes-Oxley Act had a significant impact on corporate governance?

Accepted Answer

The Sarbanes-Oxley Act requires all audi

Question 14

The text describes six internal control activities.List four of them and provide a specific example of each one.

Accepted Answer

A pay-and-return scheme involves a clerk

Question 15

What are management responsibilities under section 302 and 404?

Accepted Answer

Section 302 requires that corporate mana

Question 16

Business bankruptcy cases always involve fraudulent behavior.

Accepted Answer

A) True 
 B)False

Question 17

The text discusses many questions about personal traits of executives which might help uncover fraudulent activity.What are three?

Accepted Answer

executives: with high personal debt,livi

Question 18

Management can expect various benefits to follow from implementing a system of strong internal control.Which of the following benefits is least likely to occur?

Accepted Answer

A)  reduced cost of an external audit. 
B)  prevents employee collusion to commit fraud. 
C)  availability of reliable data for decision-making purposes. 
D)  some assurance of compliance with the Foreign Corrupt Practices Act of 1977. 
E)  some assurance that important documents and records are protected. 
A)  reduced cost of an external audit. 
B)  prevents employee collusion to commit fraud. 
C)  availability of reliable data for decision-making purposes. 
D)  some assurance of compliance with the Foreign Corrupt Practices Act of 1977. 
E)  some assurance that important documents and records are protected.

Question 19

While the Sarbanes-Oxley Act prohibits auditors from providing non-accounting services to their audit clients,they are not prohibited from performing such services for non-audit clients or privately held companies.

Accepted Answer

A) True 
 B)False

The four principal types of fraud include all of the following except

Para computer ethics is the exposure to stories and reports found in the popular media regarding the good or bad ramifications of computer technology.

Section 302 requires the management of public companies to assess and formally report on the effectiveness of their organization's internal controls.

List the four broad objectives of the internal control system.

A well-designed purchase order is an example of a

The trend toward distributed data processing increases the exposure to fraud from remote locations.

One characteristic of employee fraud is that the fraud

What are the five internal control components described in the SAS 78 / COSO framework

Of the three fraud factors (situational pressure,ethics,and opportunity),situational pressure is the factor that actually facilitates the act.

Explain the shell company fraud.

Employee fraud involves three steps.Of the following,which is not involved?

Business ethics involves

How has the Sarbanes-Oxley Act had a significant impact on corporate governance?

The text describes six internal control activities.List four of them and provide a specific example of each one.

What are management responsibilities under section 302 and 404?

Business bankruptcy cases always involve fraudulent behavior.

The text discusses many questions about personal traits of executives which might help uncover fraudulent activity.What are three?

Management can expect various benefits to follow from implementing a system of strong internal control.Which of the following benefits is least likely to occur?

While the Sarbanes-Oxley Act prohibits auditors from providing non-accounting services to their audit clients,they are not prohibited from performing such services for non-audit clients or privately held companies.

The Information System: An Accountant’s Perspective

Introduction to Transaction Processing

The Revenue Cycle

The Expenditure Cycle Part I: Purchases and Cash Disbursements Procedures

The Expenditure Cycle Part II: Payroll Processing and Fixed Asset Procedures

The Conversion Cycle

General Ledger, Financial Reporting, and Management Reporting Systems

Database Management Systems

The REA Approach to Business Process Modeling

Enterprise Resource Planning Systems

Electronic Commerce Systems

Managing the Systems Development Life Cycle

Construct, Deliver, and Maintain Systems Projects

IT Controls : Sarbanes-Oxley and IT Governance

IT Controls : Security and Access

IT Controls : Systems Development Program Changes and Application Controls

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Exam 3: Ethics, Fraud, and Internal Control

The four principal types of fraud include all of the following except

Para computer ethics is the exposure to stories and reports found in the popular media regarding the good or bad ramifications of computer technology.

Section 302 requires the management of public companies to assess and formally report on the effectiveness of their organization's internal controls.

List the four broad objectives of the internal control system.

A well-designed purchase order is an example of a

The trend toward distributed data processing increases the exposure to fraud from remote locations.

One characteristic of employee fraud is that the fraud

What are the five internal control components described in the SAS 78 / COSO framework

Of the three fraud factors (situational pressure,ethics,and opportunity),situational pressure is the factor that actually facilitates the act.

Explain the shell company fraud.

Employee fraud involves three steps.Of the following,which is not involved?

Business ethics involves

How has the Sarbanes-Oxley Act had a significant impact on corporate governance?

The text describes six internal control activities.List four of them and provide a specific example of each one.

What are management responsibilities under section 302 and 404?

Business bankruptcy cases always involve fraudulent behavior.

The text discusses many questions about personal traits of executives which might help uncover fraudulent activity.What are three?

Management can expect various benefits to follow from implementing a system of strong internal control.Which of the following benefits is least likely to occur?

While the Sarbanes-Oxley Act prohibits auditors from providing non-accounting services to their audit clients,they are not prohibited from performing such services for non-audit clients or privately held companies.

The Information System: An Accountant’s Perspective

Introduction to Transaction Processing

The Revenue Cycle

The Expenditure Cycle Part I: Purchases and Cash Disbursements Procedures

The Expenditure Cycle Part II: Payroll Processing and Fixed Asset Procedures

The Conversion Cycle

General Ledger, Financial Reporting, and Management Reporting Systems

Database Management Systems

The REA Approach to Business Process Modeling

Enterprise Resource Planning Systems

Electronic Commerce Systems

Managing the Systems Development Life Cycle

Construct, Deliver, and Maintain Systems Projects

IT Controls : Sarbanes-Oxley and IT Governance

IT Controls : Security and Access

IT Controls : Systems Development Program Changes and Application Controls

Filters