Question 1

Ways in which an organization could suffer from check fraud include which of the following: I. Check alteration; II. Invalid payments; III. Stolen issued checks.

Options :

A : I, II, and III

B : II and III only

C : I and III only

D : I and II only

Answer: A

Question 2

Which of the following are data security concerns?

Options :

A : I and II only (What data is being accessed; Who is accessing the data)

B : I and III only (What data is being accessed; For what purpose the data is being used)

C : II and III only (Who is accessing the data; For what purpose the data is being used)

D :

I, II, and III (What data is being accessed; Who is accessing the data; For what purpose the data is being used)

Answer: D

Question 3

To protect your organization from employee fraud, which of the following controls should be employed?

Options :

A : Require that all potential employees sign an NDA prior to hire

B : Ensure all staff members have accounting degrees from accredited universities

C : Hire only temporary employees and rotate them out every six to eight months

D : Conduct detailed background checks on all new AP employees

Answer: D

Question 4

Which of the following IRS documents addresses travel & entertainment (T&E) expenses?

Options :

A : Notice 1009

B : Publication 463

C : Advisory 972

D : Form 1046

Answer: B

Question 5

COSO identifies each of the following elements as necessary for an effective control environment, EXCEPT:

Options :

A : Internal controls are monitored and evaluated

B : Staff work in self-directed teams

C : Information is distributed in a timely way

D : People know their responsibilities and limits of authority

Answer: B