Show:
Importance
Responsibility
Control
Uncertainty
Maintenance
100
This is the process that is intended to provide reasonable assurance of 1) effectiveness & efficiency of operations, 2) reliability of financial reporting, and 3) compliance with applicable laws & regulations.
What are internal controls?
100
These people are required to issue a statement certifying periodic reports.
Who are the CEO and CFO?
100
Formed in the USA in 1985, this is a joint initiative of five organizations that established a common internal control model against which companies and organizations may assess their control systems.
What is Committee of Sponsoring Organizations (COSO)?
100
The identification, analysis, and management of this is relevant to the achievement of the department’s goals and objectives.
What is risk assessment?
100
Compliance obligations for publicly traded companies have significantly increased as a result of this Act.
What is the Sarbanes Oxley Act of 2002?
200
These are designed to avoid errors or irregularities from occurring initially.
What are preventive controls?
200
This person determines, through review of financial statements and managerial assessment, reasonable assurance of Internal Controls Over Financial Reporting (ICOFR) effectiveness.
Who is the external auditor?
200
This component of COSO sets the tone of an organization and influences the control consciousness of its people.
What is the control environment for COSO?
200
The organization who: 1)specifies objectives with sufficient clarity 2) identifies risks 3) considers the potential for fraud and 4)identifies and assesses changes.
What is the COSO - the Committee of Sponsoring Organizations of the Treadway Commission?
200
They have a responsibility to report reliable information to public investors and should discuss fulfilling its responsibility under the Act with its attorneys and other advisers.
What is management?
300
These are designed to identify an error or irregularity after it has occurred.
What are detective controls?
300
This department may help with Risk Assessment by monitoring hardware/software and end-user behaviors?
What is IT?
300
This section of COSO identifies and analyzes relevant risks to achieving the assigned objectives
What is risk assessment?
300
This is the process of determining which what are critical to the mission of the organization. They include people, property, information, and are necessary for the organization to carry out its mission.
What are assets and the first step of risk assessment?
300
A nonprofit corporation established by Congress to ​oversee the audits of public companies in order to protect the interests of investors and further the public interest in the preparation of informative, accurate and independent audit reports
What is The PCAOB - Public Company Accounting Oversight Board?
400
Requiring authorization on certain documents is known as this.
What is an example of internal procedures?
400
This group is responsible for evaluating the performance and effectiveness of a company’s audit committee.
What is the Board of Directors?
400
These are the policies and procedures taken to ensure management directives are being followed.
What are control activities?
400
The process to inventory existing security measures designed to protect assets. The measures may include policies and procedures, physical security equipment, security personnel, or some combination of these measures.
What is the second step of the risk assessment process?
400
The following are considered this under the Sarbanes Oxley Act: * Supporting its evaluation with sufficient evidence, including documentation. * Presenting a written assessment about the effectiveness of the company’s internal control over financial reporting as of the end of the company’s most recent fiscal year. * Evaluating the effectiveness of the company’s internal control over financial reporting using suitable control criteria. * Accepting responsibility for the effectiveness of the company’s internal control over financial reporting.
What are the duties of management within an organization?
500
The common set of accounting principles, standards and procedures that companies use to compile their financial statements.
What are the GAAP - Generally Accepted Accounting Rules?
500
This person(s) prepares the financial statements using prescripted internal controls and GAAP.
Who is the accountant (accounting department)?
500
This component involves assessing the quality of the system’s performance over time.
What is monitoring?
500
These are acts or conditions that seek to obtain, damage, or destroy an asset. The most common form of this assessment is crime analysis.
What are threats?
500
This method requires economic, social, legal, and ethical accountability by all leaders, and individuals within organizations.
What is CSR - Corporate Social Responsibility?