1. In the Systems understanding Aid, which of the following was not a primary type of control...
Question:
1. In the Systems understanding Aid, which of the following was not a primary type of control that needed to be understood?
Independent checks
Uses of flowcharts
Authorization of transaction
Adequate documents and records
2. Preparing a bank reconciliation is an example of common type of internal control?
Adequate documents and records
Separation of the custody of assets from accounting
Independent checks
Use of flowcharts
3. Which cycle begins with an order from a customer?
Payroll cycle
Purchases and cash disbursements cycle
Sales and cash receipts cycle
Inventory cycle
4. Which of the following is a primary reason a company’s book value is less than its market value?
Land and buildings are valued at their fair value
Investors tend to be too optimistic about a company’s growth opportunities
Management recording errors
Many valuable resources of the company are not recorded as assets.