19. Which of the following is the best way to compensate for inadequate segregation of duties? a. Direct involvement of owners in key functions. b. Maintaining sound recruiting schemes. c. Giving chronological numbers for all source documents. d. Preparing budgets and performance reports.

19. Which of the following is the best way to compensate for inadequate segregation of duties? a. Direct involvement of owners in key functions. b. Maintaining sound recruiting schemes. c. Giving chronological numbers for all source documents. d. Preparing budgets and performance reports.

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter3: Internal Control Over Financial Reporting: Responsibilities Of Management And The External Auditor

Section: Chapter Questions

Problem 28CYBK

See similar textbooks

Related questions

Q: Which one of the following best describes the role of top management in budgeting process? Top…

A: Role of top-level management in the budgeting process - - management must make that all the levels…

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

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

Q: The steps of the plan–do–check–act cycle and how each step defines a unique purpose and role for…

A: Strategic management is important in business because it allows a company to discover areas where it…

Q: 5. Which of the following is not a benefit of budgeting? A. It sets some standards to evaluate…

A: Budgets are compiled at least annually by most companies in order to plan their operations for the…

Q: List the major elements that contribute to perceptions of justice and how to apply these in…

A: An organization is a one- or more-person body with a specific goal, such as a firm, an institution,…

Q: 19. Which of the following is false? (a) A budget is a financial plan for a period of time. (b)…

A: a) A budget is an estimation of expenses and revenue over a period of time. Hence, budgeting is a…

Q: Required: Identify the problems that appear to exist in the company’s budgetary control system and…

A: Budgetary Control System:- It is a system in which the actual income and expenditure of the company…

Q: hich of the following is a valid reason for testing the operating effectiveness: Review the results…

A: Answer: Authorization based on the information provided by internal source.

Q: Another term used for performance audit is * a. Agency activity audit b. Value for money audit c.…

A: A performance audit s an independent assessment of an entity's operations to determine if specific…

Q: Which of the following is not a benefit of budgeting? a. It sets some standards to evaluate…

A: Budgeting is the activity of planning of costs and expenses for an entity. It is one of the most…

Q: Which of the following items is an example of an inherent limitation in an intrnal control system?…

A: Internal control defined as the process designed,implemented and maintained by management,those…

Q: Discuss the importance of supervision controls in the receiving department and the reasons behind…

A: Receiving Department: The receiving department is in obligation of inspection and the receiving…

Q: Which of the following is not a goal of performance evaluation systems? a. Promoting goal congruence…

A: Answer:

Q: III. Challenging budgets tend to motivate improved performance.

A: In the budget, the targeted performance of each employee is determined. These can be used as a…

Q: Which of the following elements of internal control includes maintaining records of employees…

Q: Which of the following is NOT an objective of the budgeting process? O a. To communicate…

A: Please see the next step for the solution

Q: How is a departmental contribution to overhead an effective tool in assessing each department's…

A: The Departmental Contribution is the difference between Department Revenue and the direct Expesnes.…

Q: Styles Edi 8. Which of the following is the best way to compensate for inadequate segregation of…

A: In this question, there are multiple questions but we solved only the 1st question as per…

Q: The primary objective of compliance auditing is toa. Give an opinion on financial statements.b.…

A: Auditing: Auditing is the process by which assertions made by management about financial…

Q: A program refers to a collection of projects or programs and other work that are grouped together to…

A: The questions are multiple choice questions. The question is related to Program , Project and…

Q: Each of the following statements includes a pair of words within parenthesis. Indicate which of the…

A: Each of the following statements includes a pair of words within parenthesis. Indicate which of the…

Q: Which of the following budgeting processes is LEAST likely to motivate managers toward…

A: Budget Process: The budget process assists the management by determining standards for the…

Q: Which of the following is not a goal of performance evaluation systems? Promoting goal congruence…

A: Answer:

Q: Which one of the following is related to the decision making function of management a. Performance…

A: Ans. Every organisation needs to make decisions among any two or more than two alternatives so to…

Q: Which of the following best describes the role of top management in the budgeting process? Should…

A: Correct option is 3.Should be enthusiastic and committed to the budget process

Q: ____________ can ensure that those benefits and costs to third parties are considered in determining…

A: Accounting services are those that are being provided by the accountants to the entity. They majorly…

Q: Discuss the objectives of eliminating receiving functions. Also, discuss the accounting and audit…

A: Step 1 When shipments of goods arrived at the warehouse to replenish stocked inventory, then the…

Q: All of the following is related to the controlling function of management except: a. Performance…

A: SOLUTION- Planning involves establishing goals and communicating these goals to employees of the…

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

A: Following are the options in which extensive audit procedures are required due to regulations: If…

Q: internal control ensures the substantial accuracy of managerial and financial report

A: Internal control is said to be adequate if it can reduce the frauds or errors to minimum.

Q: Which among the following techniques is/are part of controlling? a. All the options listed b.…

A: CORRECT ANSWER : a. All the options listed.

Q: Identify the false statement related to elements of budgeting: a. System of reporting should be made…

A: Budgeting is the managerial process of budget planning, preparation and budgetary control.

Q: Written Policies and Procedures as a part of internal control system serves all of the following…

A: Internal control evaluates the financial and management control in the entity for achieving the…

Q: In this stage of the operations audit process, assess conformity with the program, schedule, and…

A: As per the answer guideline single question is answered. In Operational Audit, The Audit process…

Q: Which of the following is not one of the categories of control activities? a.Checks on recorded…

A: Control activities are implemented by a entity as a part of internal control in order to safeguard…

Q: 5. Which of the following is not a benefit of budgeting? A. It sets some standards to evaluate…

A: Budgeting: Budgeting is that the method of making a plan to pay your cash. Benefits of Budgeting…

Q: What kinds of functional responsibilities should be performed by different departments or personsin…

A: Internal Control System: Internal controls system establishes the control within an organization to…

Q: Which of the following is the least important consideration for a governmental auditor whoneeds to…

A: Introduction:

Q: Which of the following accurately describes a characteristic of a management letter? Select all that…

A: Management letter or letter of weakness is the letter issued to management or those charged with…

Q: Three phases of the management process are planning, directing, and controlling. Match the following…

Q: What are the requirements of Staff Accounting Bulletin No. 108 for evaluating the performance…

A: An uncorrected statement refers to the financial statement containing misrepresented and false…

Question

19. Which of the following is the best way to compensate for inadequate segregation of duties?
a. Direct involvement of owners in key functions.
b. Maintaining sound recruiting schemes.
c. Giving chronological numbers for all source documents.
d. Preparing budgets and performance reports.
20. The view that refers to the location where data are physically stored is:
a. The logical view of data.
b. The physical view of data.
c. Conceptual view of data.
d. Internal view of data.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

From a risk perspective, the PRIMARY objective for classifying data is: a) To ensure the completeness of the company's data inventory b) Establish appropriate control measures, depending upon the asset classification level. c) To support user account administration procedures. d) To limit access to personally identifiable information
Which of the following sets of application characteristics of an accounting application might influence the selection of data entry devices and media for a computerized accounting system?a. Timing of feedback needs relative to input, need for documentation of an activity, and the necessity for reliability and accuracy.b. Cost considerations, volume of input, complexity of activity, and liquidity of assets involved. c. Need for documentation, necessity for accuracy and reliability, volume of output, and cost considerations. d. Relevancy of data, volume of input, cost considerations, volume of output, and timing of feedback needs relative to input. e. Type of file used, reliability of manufacturer’s service, volume of output, and cost considerations.
EFFECTS OF COMPUTERS ON INTERNAL CONTROL Separation of Duties Delegation of Authority & Responsibility Competent & trustworthy personnel System of Authorization Adequate documents & records Physical control over assets & records Adequate management supervision Independent check on performance Comparing Recorded Accountability with assets explain briefly and give example
Which of the following are principles of internal control? (Check all that apply.) Multiple select question. Increase revenues. Establish responsibilities. Maintain adequate records. Reduce vendor payables. Perform regular and independent reviews. Divide responsibility for related transactions.
1.Discuss the difference between internal and external users of information and their needs and demands on the information system. 2.Comment on the level of detail necessary for operations management, middle management and stakeholders. 3.Examine the General Model for AIS Table 1-4, discuss where and how problems will arise that can cause the resulting information to be bad or ineffective. 4.Why is it important to organizationally separate the accounting function from the other functions of the organization? 5.Contrast centralized data processing with distributed data processing. How do the roles of the different end users differs between the two approach
Which statement best describes the issue of distributed data processing (DDP)?a. The centralized and DDP approaches are mutually exclusive; an organization must choose one approach or the other.b. The philosophy and objective of the organization’s management will determine the extent of DDP in the firm.c. In a minimum DDP arrangement, only data input and output are distributed, leaving the tasks of data control, data conversion, database management, and data processing to be cen- trally managed.d. The greatest disadvantage of a totally distributed environment is that the distributed infor- mation processing unit locations are unable to communicate and coordinate their activities.e. Although hardware (such as computers, database storage, and input/output terminals) can be effectively distributed, the systems development and maintenance tasks must remain centralized for better control and efficiency.
Which of the following is an example of an input control? a.making sure report that are distributed to the proper people b.monitoring the work of data entry clerks. c. Collecting accurate statistics of historical transactions while gathering data. d. Performing a check-digit test on a customer acount number e.Having anothr person review the design of a business form
Which of the following is not a function of an Accounting Information System? a.The efficient and effective collection and storage of data concerning an organization’s financial activities b.The supply of information useful for making decisions c.The determining and evaluating of alternative courses of action d.The implementation of controls to accurately record and process data.
Which statement is NOT true? a. Drill-down capability is an OLAP feature of data mining tools available to the user. b. The data warehouse should be separate from operational systems. c. Denormalization of data involves dividing the data into very small tables that support detailed analysis. d. Some decisions supported by a data warehouse are not fundamentally different from those that are supported by traditional databases. e. Data cleansing involves transforming data into standard business terms with standard data values.
Accountants at an organization that uses an ERP system speak in terms of "data flows" between modules. Justify the accountants' inaccuracy, and suggest a more appropriate word for them to use.
Which of the following is an example of an input control?a. making sure that output is distributed to the proper peopleb. monitoring the work of programmersc. collecting accurate statistics of historical transactions while gathering datad. recalculating an amount to ensure its accuracye. having another person review the design of a business form
Which of the following would strengthen organizational control over a large-scale data processing center?a. Requiring the user departments to specify the general control standards necessary for processing transactions.b. Requiring that requests and instructions for data processing services be submitted directly to the computer operator in the data center.c. Having the database administrator report to the manager of computer operations.d. Assigning maintenance responsibility to the original system designer who best knows its logic.e. None of the above.