Your preliminary assessment is that the accounting systems are well designed and that they employ effective internal control procedures
What will be an ideal response?
PROBLEM:Even though you believe that the accounting systems are well designed, and that they employ effective internal control procedures, you cannot rely on that belief. The most effective internal control systems and procedures can be negated by a weak internal control environment, such as top management overriding the internal controls.In other words, there is no evidence that the controls are effective or that employees use and follow them.
SOLUTION: You cannot rely on the internal controls procedures being effective until you test the controls.
4. 2 Some employees complained that some managersoccasionally contradict the instructions of other managers regarding proper data security procedures.
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A ninety percent learning curve is steeper than an eighty percent learning curve
Indicate whether the statement is true or false.
A gap analysis is conducted examining the areas for which there are large discrepancies between __________ and ______________
A. self-perceptions; perceptions of others B. peer perceptions; supervisor perceptions C. subordinate perceptions; supervisor perceptions D. None of the above