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Test Bank for Information Technology Auditing, 4th Edition by James A. Hall ISBN 13 978-1133949886

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IT Auditing 4th Ed—Test Bank

Full Test Bank For Information Technology Auditing, 4th Edition by James A. Hall ISBN 13 978-1133949886 Chapter 1-12

Chapter 1—Auditing and Internal Control TRUE/FALSE 1. Corporate management (including the CEO) must certify monthly and annually their organization‟s internal controls over financial reporting. ANS: F

PTS: 1

2. Both the SEC and the PCAOB require management to use the COBIT framework for assessing internal control adequacy. ANS: F

PTS: 1

3. Both the SEC and the PCAOB require management to use the COSO framework for assessing internal control adequacy. ANS: F

PTS: 1

4. A qualified opinion on management‟s assessment of internal controls over the financial reporting system necessitates a qualified opinion on the financial statements? ANS: F

PTS: 1

5. The same internal control objectives apply to manual and computer-based information systems. ANS: T

PTS: 1

6. The external auditor is responsible for establishing and maintaining the internal control system. ANS: F

PTS: 1

7. Segregation of duties is an example of an internal control procedure. ANS: T

PTS: 1

8. Preventive controls are passive techniques designed to reduce fraud. ANS: T 9.

PTS: 1

A key modifying assumption in internal control is that the internal control system is the responsibility of management.

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