ACCT 444 DeVry Entire Course
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Question 1. Question : (TCO 5) Which of the following is responsible for establishing internal controls for a public<br />
company?<br />
Management<br />
Financial statement auditors<br />
Management and auditors<br />
Committee of Sponsoring Organizations<br />
Question 2. Question : (TCO 5) Sarbanes-Oxley requires management to issue an internal control report that<br />
includes two specific items. Which of the following is one of these two requirements?<br />
A statement that management is responsible for establishing and maintaining an adequate internal control structure<br />
and procedures for financial reporting<br />
A statement that management and the board of directors are jointly responsible for establishing and maintaining an<br />
adequate internal control structure and procedures for financial reporting<br />
A statement that management, the board of directors, and the external auditors are jointly responsible for establishing<br />
and maintaining an adequate internal control structure and procedures for financial reporting<br />
None of the above<br />
Question 3. Question : (TCO 5) Which of the following activities would be least likely to strengthen a company's<br />
internal control?<br />
Separating accounting from other financial operations<br />
Maintaining insurance for fire and theft<br />
Fixing responsibility for the performance of employee duties<br />
Carefully selecting and training employees<br />
Question 4. Question : (TCO 5) Internal controls can never be regarded as completely effective. Even if company<br />
personnel could design an ideal system, its effectiveness depends on the<br />
adequacy of the computer system.<br />
proper implementation by management.<br />
ability of the internal audit staff to maintain it.<br />
competency and dependability of the people using it.<br />
Question 5. Question : (TCO 5) Which of the following is not one of the levels of an absence of internal controls?<br />
Major deficiency<br />
Material weakness<br />
Significant deficiency<br />
Control deficiency<br />
Question 6. Question : (TCO 10) Which of the following is not a benefit of using IT-based controls?<br />
Ability to process large volumes of transactions<br />
Ability to replace manual controls with computer-based controls<br />
Reduction in misstatements due to consistent processing of transactions<br />
Over-reliance on computer-generated reports<br />
Question 7. Question : (TCO 10) Programmers should do all but which of the following?
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