Internal Controls Basics
What are Internal Controls designed to prevent?
What are Fraud, Errors and Inefficiencies?
Who is responsible for implementing and overseeing Internal Controls?
What is management?
What does COSO stand for?
What is the committee of Sponsoring Organizations?
What process identifies potential risks that could impact business objectives?
What is Risk Management?
Which major corporation scandal in the early 2000's highlighted the need for stronger Internal Controls?
What is Enron?
Internal Controls ensure accuracy and reliability in what type of reports?
What are financial reports?
What group ensures that Internal Controls align with an organization's goals?
What is the Board of Directors?
Name one of the five components of the COSO Internal Controls Model?
What is control environment, risk assessment, monitoring and information and communication?
What is an example of a control activity that helps identify fraud?
What is requiring multiple approvals for large transactions?
What law was passed in response to the Enron scandal?
What is the Sarbanes-Oxley Act (SOX)?
Name one key benefit of having strong Internal Controls?
What is protecting assets, ensuring compliance and improving efficiency?
Who evaluates the effectiveness of Internal Control audits?
Who are internal and external auditors?
Which component sets off the ethical tone of an organization?
What is the Control Environment component?
What type of fraud occurs when an employee manipulates financial statements?
What is accounting fraud?
What law regulates Internal Controls and financial reporting for public companies?
What is the Sarbanes-Oxley Act (SOX)?
Internal Controls help organizations achieve three main objectives. Name one.
What is operating, reporting a d compliance.
What is the role of employees in Internal Controls?
What is following policies and reporting control issues?
Which COSO component is directly related to audits and evaluations?
What is the Monitoring component?
If a company processes online transactions, what major risk should be assessed?
What is cybersecurity risk?
What does SOX require companies to do?
What is strengthen Internal Controls and increase financial transparency?
What are two major consequences of weak Internal Controls?
What are financial loss and legal penalties?
Which two groups provide oversight and assurance for Internal Controls?
What are the Board of Directors and Auditors?
Which COSO component ensures employees receive clear financial and operational information?
What is the Information and Communication component?
Name a tool that companies can use to prevent online fraud?
What is a two-factor authentication?
What is the role of external audits under SOX?
What is provide independent reviews of financial statement?