ais homework #3

ais homework #3 - Alec Kraft Accounting Information Systems...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Alec Kraft Accounting Information Systems DQ: 4. This statement is not true because there is no way to completely eliminate fraud from any company. Even with a very strong internal control, there still could always be some type of fraud that happens within the company. The complete elimination of fraud is impossible. 7. The Sarbanes-Oxley act has had a significant impact on corporate governance by completely reforming it. The act makes all audit committee members be independent and requires the audit committee to hire and oversee the external auditors. It has prohibited public companies from making loans to executive officers and directors and requires attorneys to report evidence of a material violation of securities laws and breaches of fiduciary duty to the CEO, CFO, or the PCAOB. 8. Exposure is the absence or weakness of a control and they can increase the firm’s risk to financial loss or injury from undesirable events. A company may tolerate some exposure because it could possibly learn more about its employees and its company if it knows that the exposure is
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/10/2011 for the course BUS 301 taught by Professor O'byrne during the Spring '11 term at San Diego State.

Page1 / 2

ais homework #3 - Alec Kraft Accounting Information Systems...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online