1. The control that would most likely ensure that payroll checks are written only for authorized amounts is to:

a.Conduct periodic floor verification of employees on the payroll.

b.Require the return of undelivered checks to the cashier.

c.Require supervisory approval of employee time cards.

d.Periodically witness the distribution of payroll checks.

-

2. Who has primary responsibility for the monitoring component of internal control?

a.The organizations independent outside auditor.

b.The organizations internal audit function.

c.The organizations management.

d.The organizations board of directors.

-

3. Enterprise risk management:

a.Guarantees achievement of business objectives.

b.Requires establishment of risk and control activities by internal auditors.

c.Involves the identification of events with negative impacts on business objectives.

d.Includes selection of best risk response for the organization.