Question : 11.              The Sarbanes-Oxley Act of 2002 does not require any : 1410850

 

 

11.              The Sarbanes-Oxley Act of 2002 does not require any certification from a public company's chief executive officer about the company's system of internal control.

 

 

12.              The financial statements of nonpublic companies are not required to be audited by an independent CPA.

 

 

13.              The use of a cash register would be an example of a physical control.

 

 

14.              The review of a system of internal control by internal auditors relates most closely to the monitoring component of internal control.

 

 

15.              The use of prenumbered documents is important to a good system of internal control.

 

 

16.              The taking of a physical inventory is an example of periodic independent verification.

 

 

17.              Good internal control dictates that each employee should oversee only part of a transaction.

 

 

18.              Bonding provides a guarantee against theft.

 

 

19.              To assure an efficient system of internal control, management should authorize all transactions.

 

 

20.              In a small business, active involvement by the owner can be a practical substitute for the separation of some duties.