Internal Audit Team
Internal audit reports to a subset of the Board of Directors know as the _________
Audit Committee
Audit projects typically focus on ___ to ____ process analysis
End to End
These are the mechanisms, rules, and procedures implemented by a company to ensure the integrity of financial and accounting information, promote accountability and prevent fraud.
Internal Controls
On average, it takes an organization this long to detect fraud
18 Months
“The Smartest Guys in the Room” documentary chronicles the downfall of this company that led to the Sarbanes Oxley Act of 2002
Enron
Management is responsible for designing and implementing controls. This group is responsible for testing and concluding on the effectiveness of the controls.
Internal Audit
You will develop this type of mindset through the audit work you do
Risk and Control
A primary objective of internal audit is to provide ______ and objective assurance.
Independent
Almost 25% of fraud cases involve losses of a least this much
$1 Million
This 2002 biopic tells the story of Frank Abagnale who stole millions of dollars while pretending to be a pilot, doctor and prosecutor
Catch Me If You Can
This newly created team is responsible for performing deep dives across the top risks of the business
Enterprise Risk Management
At the completion of each audit, a report is issued up to this level of leadership.
GLT
The focus for SOX is on internal controls over _______ reporting
Financial
The fraud triangle is comprised of these 3 things
Pressure
Opportunity
Rationalization
The Wolf of Wall Street was based on this person’s life who was convicted of securities fraud and money laundering
Jordan Belfort
Internal Audit has responsibilities across these business units
All – Domestic and International
An increased emphasis has recently been placed on this area of IA to improve our ability to test full sets of data and provide quantifiable results back to the business
Data Analytics
Internal Audit follows standards set by this organization
Institute for Internal Auditors
When appropriate policies, controls, and monitoring are in place at an organization, the risk of fraud occurrences is reduced by approximately this much
50%
You may better recognize the red stapler or TPS reports, but a lack of IT controls led to hundreds of thousands of dollars being stolen from this company in “Office Space”
Initech
Name the 4 areas of focus within Internal Audit
Operational Audits
Data Analytics
ERM
SOX
In order to develop a deep understanding of the business and ensure the timely remediation of any issues found, this skill is important for success.
Project Management
Communication
End to End Thinking
This firm relies on the work of Internal Audit throughout the year as they assess Grainger’s financial statements
Ernst & Young
Name one of the most common types of corporate fraud schemes
Asset misappropriation
Corruption
Financial Statement Fraud
Robert De Niro and Michele Pfeiffer starred as Bernie and Ruth Madoff in this 2017 HBO movie based on the largest investment fraud in history
The Wizard of Lies