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Company's Internal Control - Part I

Total questions: 10

Worksheet time: 7mins

Name
Class
Date
1.

It is a process designed and effected by those charged with governance, management and other personnel to provide reasonable assurance about the achievement of the entity’s objectives.

a)

Internal auditing

b)

Internal control

c)

Business process

d)

Accounting process

2.

 It sets the tone of an organization, influencing the control consciousness of its people.

(a)  

3.

This is an act of withholding cash receipts without recording them.

a)

Skimming

b)

Lapping

c)

Kitting

d)

Winding

4.

Cycle that involves acquisition transactions and cash disbursements for purchases and payments.

a)

Sales and Collections Cycle

b)

Acquisitions and Payments Cycle

c)

Payroll and Personnel Cycle

d)

Procurement and Settlement Cycle

5.

True or False. Effective internal controls help avoid and identify these errors in payroll processes.

a)

False

b)

True

6.

True or False. Overpaying employees by increasing rates or compensating for more hours than work is not a common overpayment issue.

a)

True

b)

False

7.

It is the process that an entity uses to assess the quality of internal control.

(a)  

8.

Give one type of Fraud.

(a)  

9.

This refers to choosing accounting methods in making accounting principle changes to produce a specified income level or trend.

(a)  

10.

What distinguishes fraud from error?

(a)