Question 1
To promote operational efficiency, the internal audit department would ideally report to
◦ line management.
◦ the PCAOB.
◦ the Chief Accounting Officer.
◦ the audit committee.
Question 2
Which of the following activities would be
least likely to strengthen a company's internal control?
◦ separating accounting from other financial operations
◦ maintaining insurance for fire and theft
◦ fixing responsibility for the performance of employee duties
◦ carefully selecting and training employees