10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
Lesson
03
Quiz
Due
Oct
17
at
11:59pm
Points
10
Questions
10
Available
until
Oct
17
at
11:59pm
Time
Limit
None
Allowed
Attempts
Unlimited
Instructions
Some,
but
not
all,
of
the
responses
have
explanations
for
why
they
are
correct
or
incorrect.
Click
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the
Quiz
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begin.
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Score
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attempt:
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out
of
10
Submitted
Oct
11
at
5:01pm
This
attempt
took
2
minutes.
Question
1
1/1
pts
There
are
multiple
common
abbreviations
in
auditing,
financial
reporting,
and
accounting
in
general
that
you
should
know
before
you
graduate.
One
of
them
is
ICFR.
What
does
ICFR
stand
for?
International
Controls
over
Financial
Reporting
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
1/7
10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
International
Credibility
of
Financial
Reporting
Internal
Credibility
of
Financial
Reporting
Correctl
)
Internal
Controls
over
Financial
Reporting
Nice
job!
Review
the
"must-read
note"
on
page
40
of
the
text
which
l
introduces
Internal
Controls
over
Financial
Reporting
(ICFR).
Now
go
~
back
to
work.
B
—
Question
2
1/1
pts
Which
of
the
following
is
the
best
example
of
ICFR?
The
CFO
has
a
good
international
reputation
Correctl
'
The
CFO
provides
a
good
example
of
integrity
to
employees
Yep.
This
is
called
part
of
the
Control
Environment—good
tone
at
the
~
top
in
this
case.
Good
job!
Review
the
examples
of
the
ICFR
on
page
-
42
of
the
text.
Additionally,
review
each
of
the
five
key
components
-
of
the
ICFR
on
pages
42-46
of
the
text.
Now
go
back
to
work.
The
CFO
has
a
good
internal
reputation
The
CFO
is
willing
to
work
on
weekends
to
make
sure
that
accounting
numbers
meet
the
company’s
goals
Question
3
1/1
pts
Which
of
the
following
lists
all
five
components
of
an
effective
control
system
suggested
by
COSO
framework?
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
2/7
10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
Control
environment,
risk
avoidance,
accounting
information
and
communication
system,
control
activities,
security
monitoring
Correctl
@)
o/
Control
environment,
risk
assessment,
accounting
information
and
communication
system,
control
activities,
monitoring
-
You
got
it!
Review
each
of
the
five
key
components
of
the
ICFR
on
Q
pages
42-46
of
the
text.
Now
go
back
to
work.
Control
atmosphere,
risk
assessment,
accounting
information
and
communication
system,
control
activities,
monitoring
Control
environment,
risk
assessment,
control
activities,
control
planning,
monitoring
Question
4
1/1
pts
A
strong
ability
to
attract,
develop,
and
retain
talented
and
competent
employees
suggests
strength
in
which
of
the
following
components
of
COSO
framework:
Correctl
)
Control
environment
i
Well
done!
Control
environment
is
about
the
integrity
of
the
company.
i
Review
each
of
the
five
key
components
of
the
ICFR
on
pages
42-46
~
of
the
text.
Now
go
back
to
work.
Control
activities
Control
planning
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
3/7
10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
None
of
the
above
Question
5
1/1
pts
A
company’s
manager
concluded
that
due
to
the
upcoming
change
in
an
accounting
standard,
she
will
need
to
provide
training
on
this
standard
to
her
accounting
staff
and
potentially
hire
an
additional
person
to
help
with
the
increased
workload
due
to
the
new
standard.
This
is
an
example
of
which
of
the
following
COSO
framework’s
components
functioning
well?
Control
environment
Control
activities
Correct!
)
Risk
assessment
-
Well
done!
The
manager
is
looking
ahead
to
mitigate
risk.
Review
each
of
the
five
key
components
of
the
ICFR
on
pages
42-46
of
the
-
text.
Now
go
back
to
work.
None
of
the
above
Question
6
1/1
pts
Segregation
of
duties
is
an
example
of
which
of
the
following
COSO
framework’s
components?
Control
environment
Monitoring
Risk
assessment
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
4/7
10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
|
Correctl
'
None
of
the
above
|
Well
done!
Segregation
of
duties
is
part
of
control
activities
i
component
of
COSO
framework.
Now
go
back
to
work.
Review
each
-~
of
the
five
key
components
of
the
ICFR
on
pages
42-46
of
the
text.
Question
7
1/1
pts
Which
of
the
following
is
not
an
objective
of
the
overall
ICFR?
Prevent
material
misstatements
in
financial
statements
Detect
material
misstatements
in
financial
statements
Correct
material
misstatements
in
financial
statements
Correct!
)
All
of
the
above
are
objectives
of
the
overall
ICFR
~
You
got
it!
Review
the
definition
and
objectives
of
ICFR
on
page
41
of
-
the
text.
The
objectives
are
restated
in
bold
on
page
47
of
the
text.
-
Now
go
back
to
work.
|
|
Question
8
1/1
pts
Auditors
concluded
that
the
ICFR
system
is
appropriately
designed
to
meet
its
objectives
and
is
placed
in
operation
as
designed.
What
does
this
indicate
about
the
ICFR?
A.
It
is
appropriately
designed
B.
It
is
appropriately
implemented
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
5/7
10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
C.
Auditors
performed
operating
effectiveness
testing
of
ICFR
Correct!
)
Aand
B
-
You
got
it!
Now
go
back
to
work.
Review
pages
47-48
of
the
text
for
E
information
on
testing
the
design
and
implementation
of
the
ICFR.
-
Page
49
gives
information
regarding
testing
for
operating
|
effectiveness
which
is
a
separate
set
of
tests
of
controls.
Question
9
1/1pts
Which
of
the
following
correctly
lists
all
the
components
of
audit
risk?
Inherent
risk,
control
risk,
communication
risk
Correct!
)
Financial
statements
misstatement
risk
and
auditor’s
detection
risk
|
You
got
it!
Financial
statements
misstatement
risk
(i.e.,
inherent
risk
l
and
control
risk)
and
auditor’s
detection
risk
comprise
audit
risk.
i
Review
page
50
of
the
text
for
information
on
Audit
Risk
and
how
to
~
calculate
it.
Now
go
back
to
work.
Inherent
risk
and
auditor’s
detection
risk
Control
risk
and
inherent
risk
Question
10
1/1
pts
Which
of
the
following
is
not
an
accepted
method
of
documentation
of
ICFR?
Questionnaire
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
6/7
10/11/23,
5:34
PM
Lesson
03
Quiz:
ACC
450:
Principles
of
Auditing
(2023
Fall
-
B)
Narrative
Flowchart
Correctl
)
Verbal
You
got
it!
Review
page
48
for
information
on
the
accepted
methods
of
documentation
of
ICFR.
Now
go
back
to
work.
Quiz
Score:
10
out
of
10
https://canvas.asu.edu/courses/159839/quizzes/11998707?module_item_id=11274834
717
