internal controls over financial reporting. ANS: F PTS: 1 2. Both the SEC and the PCAOB require management to use the COBIT framework for assessing internal control adequacy. ANS: F PTS: 1 3. Both the SEC and the PCAOB require management to use the COSO framework for assessing internal control adequacy. ANS: F PTS: 1 4. A qualified opinion on management’s assessment of internal controls over the financial reporting system necessitates a qualified opinion on the financial statements? ANS: F PTS:
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to reduce any negative impacts and in turn reduce risk; or they can amplify the success of a positive event‚ which would in turn‚ present opportunities. (COSO‚ 2004) Risk can be defined as the probability of a known loss. ERM deals with risks and opportunities affecting value creation or preservation. Enterprise risk management‚ as defined by COSO is a process‚ affected by an entity’s board of directors‚ management and other personnel‚ applied in strategy setting and across the enterprise‚ designed
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Chapter 5: Internal Control over Financial Reporting 1. Internal control is a process designed to guarantee the achievement of the objectives of reliable financial reporting‚ compliance with laws and regulations and ineffective and inefficient operations. FALSE 2. Auditing standards require that the auditor exercise professional judgment and maintain professional skepticism throughout the planning and performance of the audit. TRUE 3. If internal controls are not enforced they are useless
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Shoes‚ Inc. maintained effective internal control over financial reporting as of December 31‚ 2006‚ based on criteria established in Internal Control – Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO criteria). Managements Responsibilities for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements‚ in accordance with the generally accepted accounting principles in the United States
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the IT industry include IT Infrastructure Library‚ (ITIL) Control Objectives for Information and related Technology‚ (COBIT) and International Organisation for Standardisation (ISO) best practices. Keywords: IT process‚ COBIT‚ ITIL‚ ITSM‚ ISO 20000‚ COSO‚ CMMI‚ ISO 38500 Introduction IT processes are the strategic‚ tactical‚ and operational activities/tasks that IT performs. The actual names‚ amount of resources devoted‚ and total number might vary from one firm to another‚ based on the organization‘s
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detection of unauthorized acquisition‚ use or disposition of the company ’s assets that could have a material effect on the financial statements." This definition is consistent with the definition provided in the Committee of Sponsoring Organizations (COSO)‚ Reporting to External Parties‚ which provides the following definition of internal control over safeguarding of assets: Internal control over safeguarding of assets against unauthorized acquisition‚ use or disposition is a process‚ effected by
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MODULE 3: CIT CASE QUESTIONS 1. The three aspects of fraud - Perceived pressure‚ Rationalization‚ and Opportunity were present in the CIT case as follows: Pressure- Niakan was placed under much pressure to meet monthly targets. The senior VP Ms. Thompson had earlier criticized his performance when it fell below expectations. Niakan had also been warned in his 2002 annual review that his team needed to improve end of lease sales and inventory returns. Apart from this work angle Niakan had personal
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struggle of selecting only one‚ my final choice was the “I” due to my struggle to make a decision for this project. The symbol of my personal flaw was constructed from construction paper‚ printer paper‚ electrical tape‚ and paint. On my first day of baring the letter‚ not very many people asked questions regarding my emblem. The most common question I received was asking whether or not it was my first day displaying my insecurity. The source of this lack of questions can be pertained to that majority
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References: APB (1995a)‚ Accounting and Internal Control Systems SAS 300‚ Auditing Practices Board Statements of Auditing Standards‚ London. COSO (2004)‚ “Enterprise risk management – integrated framework”‚ Committee of Sponsoring Organizations‚ available at: www.coso.org/Publications/ERM/COSO_ERM_Executive Summary.pdf (accessed 18 January 2007). KPMG Forensic (2004)‚ Fraud Survey 2004‚ KPMG
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(GARP) Achieved a Global respected recognition by perusing certified Financial Risk Manager designation (FRM) Considerable knowledge of Generally Accepted Accounting Principles “GAAP” Competitive experience in Internal Control methodologies such as “COSO” and “Sarbanes Oxley” Demonstrated exposure to Capital Markets & Banking Monetary Regulations. Capital Markets Competencies: AP Registration (Formation)‚ Licence Subscription‚ Securities Listing (IPO & Rights Issues)‚ Basel II‚ AML instructions
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