MUHASEBE I - Deneme Sınavı - 8

A bank statement is a document which is prepared by a bank to show the transactions that occurred in the account of a business within a month. The correct answer is E.

Cash includes coins, currency (paper money), checks, money orders, and deposits in checking and savings accounts.

Internal control is a managerial task and responsibility to ensure that all of the activities of a company are under the management control.

Internal control has five components: control environment, risk assessment, control activities, information and communication, and monitoring activities.

Assignment of responsibilities requires that different people should be determined for each different duty.

Fraud is an intentional misrepresentation of facts which is, made for purpose of persuading another party to act in a way that causes injury or damage to that party.

ACFE developed a “Fraud Tree” with a broad perspective in 1996.

A voucher is a formal document which authorizes a cash payment.

Cheaper system is not among the advantages of online banking.

Internal control can be defined as a plan and a system of control procedures designed and implemented by the management and the board of directors.

A bank reconciliation which is a statement that explains the differences between the balance shown on the bank statement and the one shown on the business’s accounting records.

Committee of Sponsoring Organization of the Treadway Commission (COSO) is a joint initiative of
some private sector organizations. COSO published Internal Control-Integrated Framework in 1992.

An internal control should design and implement to achieve some objectives. According to the definition
of internal control, another fundamental concept is about related objectives. These related objectives can
be categorized into three groups: Operations objectives, reporting objectives, and compliance objectives.

In a collusion, at least two or more people work together to commit a fraud.

Internal control has five components: control environment, risk assessment, control activities,
information and communication, and monitoring activities.

Control Environment: It defines a set of standards, processes, and structures that provide a basis to
carry control consciousness across the businesses. So, it serves as a basis or an umbrella for all other
components of internal control.

Control activities are some actions based on policies and procedures. The policies
and procedures for the actions named control activities, are established to ensure that management directives are carried out.

Fraud is an intentional misrepresentation of facts which is made for purpose of persuading another party to act in a way that causes injury or damage to that party.

There are two types of frauds: misappropriation of assets and fraudulent financial reporting.

Fraud Triangle has three components: pressure, opportunity, and rationalization. These components refer to some factors that allow committing both types of fraud.