COSO

Which of the following best fits under the 'Control Environment' component?

• Segregation of duties
• Establishing organisational structure
• Monitoring IT systems
• Implementing control activities

Which activity aligns with the 'Risk Assessment' component?

• Setting ethical tone at the top
• Identifying and analysing potential events
• Training staff on controls
• Recording transactions accurately

What fits into the 'Control Activities' component?

• Hiring ethical employees
• Regular risk identification
• Implementing approval procedures
• Communicating with external stakeholders

Which is an example of 'Information and Communication'?

• Evaluating the risk of fraud
• Providing timely reports to management
• Authorising transactions
• Developing policies

What falls under the 'Monitoring Activities' component?

• Daily reconciliations by accounting
• Independent evaluations of control effectiveness
• Documenting procedures
• Creating internal policies

Under 'Control Environment', what reflects commitment to integrity and ethics?

• Conducting surprise audits
• Training on fraud detection
• Establishing a code of conduct
• Preparing financial reports

Which action is associated with the 'Risk Assessment' component?

• Analysing fraud risk
• Recruiting finance staff
• Reconciling accounts
• Assigning work shifts

Which is part of 'Control Activities'?

• Communicating whistleblower policies
• Reviewing control effectiveness
• Ensuring approvals are documented
• Setting tone at the top

What is an example of 'Information and Communication'?

• Using whistleblower hotlines
• Rotating job duties
• Detecting unauthorised access
• Identifying changing regulations

What supports the 'Monitoring Activities' principle?

• Quarterly risk assessments
• Audits by external regulators
• Internal audit follow-up reviews
• Setting HR policies