Internal Control System}

\section*{Required:}

A list of terms and another list of definitions and examples are presented below. Make a list numbered 1 through 5 and match the letter of the most directly related definition or example with the number of each term.

\section*{Exercise

Transcribed Image Text:

Term 1. Business process risk 2. Control environment 3. Information and communication 4. Monitoring 5. Strategic risk Definition or Example a. The internal audit group is testing the operating effectiveness of various internal control activities. b. A member of upper management was fired for violating the com- pany's code of conduct. c. Reports documenting problems with production are forwarded to management. d. Competitors begin offering extended warranty coverage on prod- ucts. e. Problems with our suppliers have resulted in lost sales because our stores were out of stock.