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Which of the following should Peter do with regard to these findings?
During an external audit of an organization's financial statements. Peter, the external auditor, uncovers significant internal control deficiencies at the audit client's organization. He believes these deficiencies could result in a material misstatement of the financial statements . Which of the following should Peter do with regard to these findings?A...
In response to a risk identified during a fraud risk assessment, management decides to implement additional internal control measures.
In response to a risk identified during a fraud risk assessment, management decides to implement additional internal control measures. This response is known as:A . Assuming the risk B. Mitigating the risk C. Avoiding the risk D. Transferring the riskView AnswerAnswer: B
International Standard on Auditing (ISA) 240 establishes auditors as being primarily responsible for the establishment of anti-fraud internal controls within an organization.
International Standard on Auditing (ISA) 240 establishes auditors as being primarily responsible for the establishment of anti-fraud internal controls within an organization.A . True B. FalseView AnswerAnswer: B
Article II of the ACFE Code of Professional Ethics prohibits illegal or unethical conduct, but It allows exceptions for unknowing violations of the law.
Article II of the ACFE Code of Professional Ethics prohibits illegal or unethical conduct, but It allows exceptions for unknowing violations of the law.A . True B. FalseView AnswerAnswer: B
Employee support programs are a fraud prevention mechanism that addresses which leg of the Fraud Triangle
Employee support programs are a fraud prevention mechanism that addresses which leg of the Fraud TriangleA . Rationalization B. Lack of integrity C. Opportunity D. PressureView AnswerAnswer: A
During the course of a fraud examination. While, an employee of the ABC Corp.. approaches Blue, a Certified Fraud Examiner (CFE), and tells Blue that she wishes to furnish information in confidence.
During the course of a fraud examination. While, an employee of the ABC Corp.. approaches Blue, a Certified Fraud Examiner (CFE), and tells Blue that she wishes to furnish information in confidence. Blue also is employed by the ABC Corp. Blue should:A . Tell White that she will try to...
Which of the following would MOST LIKELY be a violation of the ACFE Code of Professional Ethics?
Which of the following would MOST LIKELY be a violation of the ACFE Code of Professional Ethics?A . Green a CFE, uncovered several material internal control deficiencies unrelated to the financial statement fraud he was investigating. In his final report to management. Green included information about the deficiencies even though...
Which of the following statements is FALSE regarding an organization's fraud risk management program?
Which of the following statements is FALSE regarding an organization's fraud risk management program?A . The program must include mechanisms to monitor and identify breaches in compliance. B. The responsibility of handling suspected incidents of noncompliance should be delegated to someone outside of the company. C. Formal sanctions for intentional...
Which of the following is Susannah's BEST response to these findings?
Susannah Is conducting an external audit of a company In a jurisdiction that is subject to International Standards on Auditing (ISAs). While undertaking her audit procedures, she discovers evidence that senior management has been fraudulently manipulating the financial statements . Which of the following is Susannah's BEST response to these...
According to behaviorist theories, which of the following options would be the most effective way for Jones to condition her staff to follow the company's formal accounting processes?
Jones, an accounting manager for a software company, wants to improve her team's adherence to the company's formal accounting policies and procedures and reduce the number of process exceptions they experience. According to behaviorist theories, which of the following options would be the most effective way for Jones to condition...
