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1. Sarbanes-Oxley: (Points : 1)

applies to all businesses. has a purpose of insuring all companies report only accurate financial statements. was enacted in 2000. only applies to businesses whose stock is traded on public exchanges

Question 2.2. The objectives of internal control include all of the following EXCEPT: (Points : 1)

to give accountants more "busy-work." to provide reasonable assurance that business information is accurate to provide reasonable assurance that assets are safeguarded. to provide reasonable assurance that employees comply with laws.

Question 3.3. Which of the following is NOT one of the five elements of internal control? (Points : 1)

Physical safeguarding The control environment Control procedures Risk assessment

Question 4.4. Which of the following would NOT be considered a risk factor related to employee fraud? (Points : 1)

Lack of bi-monthly paychecks. Lack of proper management oversight Lack of proper documentation for transactions Lack of proper segregation of duties

Question 5.5. Which of the following are controls over cash receipts and/or payments? Remittance A Voucher System Advices (Points : 1)

Yes, Yes Yes, No No, Yes No, No

Question 6.6. The depositor's checking account balance in the bank's records is a(n) ________. (Points : 1)

Liability Asset Revenue Expense

Question 7.7. In preparing a bank reconciliation, a service charge would be: (Points : 1)

added to the cash balance according to the bank statement deducted from the cash balance according to the bank statement added to the cash balance according to the depositor's records deducted from the cash balance according to the depositor's records

Question 8.8. The bank statement reports an ending balance of $5,650 after deducting $120 in service charges and an addition of $2,400 for a note collected by the bank on the company's behalf. The depositor reports an ending balance of $720 and determines that deposits in transit equal $2,100 and outstanding checks equal $4,750. What is the adjusted balance for the bank? (Points : 1)

$900 $3,000 $8,300 None of the above

Question 9.9. Replenishing the petty cash fund will include an adjustment to __________. (Points : 1)

Expense accounts Petty cash Capital stock Accounts payable

Question 10.10. If a company is required to maintain a minimum cash balance in their account, this balance is called a: (Points : 1)

Minimum balance Required balance Compensating balance True balance