This preview shows page 1. Sign up to view the full content.
Unformatted text preview: a. Current accrual account. b. Accounts receivable. c. Revenue accounts. d. Inventory accounts. e. None of the above. 104. The COSO model of control: a. Encompasses best practice control perspectives from a number of professional associations. b. Focuses on documented control procedures as the most important aspects of control. c. Acknowledges that management behaviors are not important, provided employees are given clear direction on conduct. d. States that a "risk assessment" is a good idea, but only really necessary for banks. e. None of the above. 105. Monitoring controls do not include: a. Management reports that identify nonconforming transactions. b. Monitoring the system of internal control through internal audit activities. c. The preparation of an audit by a licensed CPA firm. d. A company's ethics policy signed by all company employees and executives. e. None of the above. 107. Which level of criminal intent is most commonly required in prosecutions of white‐collar crime? a. Purposely. b. Knowingly. c. Recklessly. d. Negligently. e. None of the above. 108. A "debit" to assets in a double‐entry accounting system has what effect? a. A decrease in an assets account and an increase somewhere else. b. An increase in an assets account and a decrease somewhere else. c. A decrease in income and an increase in equity. d. An increase in expenses and a decrease in liabilities. e. A decrease in a shareholder equity account. 109. Which is a false statement? a. A "day's sales in receivable index" for manipulators is 1.5 to 1. b. The "gross margin index" for manipulators is 1.2 to 1. c. The "asset quality index" for manipulators is 1.25 to 1. d. The "sales growth index" for manipulators is 60 percent. e. The "total accruals to total assets index" for manipulators is .018. Page 23 of 44 ...
View Full Document
This note was uploaded on 07/16/2010 for the course ACCOUNTING 2301 taught by Professor Norton during the Summer '10 term at Academy of Design Tampa.
- Summer '10