classify the information (1-10)according to the elements of an audit finding (criteria, condition, cause, effect, and recommendations): The internal audit graduates are allocated an audit engagement under the supervision of MaryJoshua, a senior internal auditor. Mary decided to test the graduates' understanding of theelements of an audit finding. She gathered the following unrelated audit findings from previousinternal audit reports:1) Compliance with the approved leave management policy and procedures is compulsoryfor all employees.2) Previously, a travel requisition signed by the relevant manager was sufficient toapprove travel claims, no further documents were requested at the time.3) We found insufficient documentation to support 60% of the travel claims.4) Employees should familiarise themselves with leave management policies andprocedures as soon as it is approved by the human resource committee.5) Management should ensure that there are adequate and effective information securitycontrols in place to safeguard all personal data.6) Non-compliance with leave management policies and procedures resulted in excessiveaccumulation of vacation leave.7) Boarding passes to support flights taken, copies of conference programmes andregistration receipts should be submitted when employees attend a conference.8) The travel budget for the year was depleted in the first quarter. This resulted in employeesmissing critical meetings with adverse reputational damage.9) The project management policy states that performance and monitoring measuresmust be put in place prior to commencement of each project.10) Inadequate security of electronic data compromised personal information of employeesresulting in reputational damage to the company.

Solution Concept The elements of audit finding can be understood as Criteria The criteria for…

Answered: ssify the information (1-10)according…

ssify the information (1-10)according to the elements of an audit finding (criteria, condition, cause, effect, and recommendations):

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter8: Fraud, Internal Controls, And Cash

Section: Chapter Questions

Problem 12MC: The external auditor of a company has certain requirements due to Sarbanes-Oxley. Which of the...

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The external auditor of a company has certain requirements due to Sarbanes-Oxley. Which of the following best describes these requirements? A. The auditor is required to only report weaknesses in the internal control design of the company he or she is auditing. B. The auditor must issue an internal control report on the evaluation of internal controls overseen by the Public Company Accounting Oversight Board C. The auditor in charge can serve for a period of only two years. D. The Public Company Accounting Oversight Board reviews reports submitted by the auditors when no evaluations have been performed.
Assume that after completion of all fieldwork on the audit of Andler Company, but prior to issuance of the audit report, the senior on the engagement informed the engagement partner that he just discovered that his wife has an immaterial investment in Andler Company stock. Which of the following is most accurate as to AICPA Code of Professional Conduct requirements? Multiple Choice The CPA firm must resign the engagement. No action is necessary since he was unaware of his wife’s investment while performing the audit. The CPA firm should evaluate the significance of the breach on the engagement team’s integrity, objectivity and professional skepticism and ability to issue an audit report and then take proper action. The senior’s performance on the audit should be reviewed by the engagement partner to determine that the work performance was acceptable.
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