Week 3 Quiz

1. Internal control is a process effected by an entity's board of directors, management, and other personnel that is designed to provide reasonable assurance regarding the achievement of objectives. (True/False) (10%)

2. What are the two main objectives for conducting preliminary analytical procedures? (30%) to understand the client business and transactions, and to identify account that may contain errors.

3. List the two types of audit tests. (30%) Risk assessment procedures, and testing controls

   1. List three factors that affect an organization's control environment. (30%)

Effectiveness and efficiency of operations, reliability of financial reporting , compliance with applicable laws and regulations, integrity , and ethics.