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Consideration of Internal Control in a Financial Statement A

Total questions: 10

Worksheet time: 2mins

Name
Class
Date
1.

What is the title of the Chapter discussed?

a)

Consideration in a Financial Statement Audit of Internal Control

b)

Consideration of Internal Control in an Internal Control Audit

c)

Consideration of Internal Control in a Financial Statement Audit

d)

Consideration in a Internal Control Audit of Internal Control

2.

Which is not a Stage of Study and Evaluation of Internal Control?

a)

Obtaining Evidential Matter to Support the Assessed Level of Control Risk

b)

Classifying of Account Transactions Materially Misstated

c)

Obtaining an Understanding of the Entity's Internal Control Structure

d)

All are Stages of Study and Evaluation of Internal Control

3.

Which of the Following is a Component that lets the Business achieve its Objectives?

a)

Risk Assessment

b)

Time Period

c)

Presentation of Findings to the Board

d)

None of the following is a Component

4.

This ensure that the Management Directives are carried out.

a)

Control Activities

b)

Information System

c)

Risk Assessment

d)

Monitoring

5.

These are matters that the auditor in his judgement, should be communicated to the audit committee

a)

Reportable Information

b)

Reportable Matters

c)

Reportable Conditions

d)

Reportable Judgement

6.

Three of the following are categories of Control Procedures. Which is not?

a)

Physical Control

b)

Performance Review

c)

Information Processing Control

d)

Internal Control

7.

Uses symbols to provide an overview of the data or authority within the internal control

a)

Flowchart

b)

Memorandum

c)

Narrative Description

d)

Internal Control Checklist

8.

These are examples of test of controls. Which is not?

a)

Inquiries of appropriate entity personnel.

b)

Observation of the application of the policy or procedure.

c)

Checking of Financial Statements

d)

Re-performance of the application of the policy or procedure by the auditor

9.

These are the classifications according to the scope of the system. Which is not a classification?

a)

General Control

b)

Application Control

c)

General IT-Control

d)

Substantial Control

10.

This is a technique used to understand internal control that traces how the entity's transactions.

a)

Trial and Error

b)

Walkthrough

c)

Sampling

d)

Employee Satisfactory Survey