1. Which of the following describes the risk assessment component of internal control? A) Internal auditors monitor company controls to safeguard assets, and external auditors monitor the controls to ensure that the accounting records are accurate. B) Risk assessment is the "tone at the top" of the business. C) A company must identify its risks and take necessary steps to minimize them. D) Risk assessment is designed to ensure that the business's goals are achieved. 2. Which of the following is NOT an appropriate internal control for cash receipts over the counter? A) A receipt is issued for each transaction to ensure that each sale is recorded. B) The store clerk deposits the cash in the bank. C) At the end of the day, the manager proves the cash by comparing the cash in the drawer against the machine's record of cash sales. D) The cash draw opens after the store clerk enters a transaction. 3. Which of the following is the basic internal control procedure with respect to cash receipts? A) depositing all cash receipts in the bank shortly after the cash is received B) requiring customers to pay with debit or credit cards C) requiring the accountants to make the bank deposits D) preventing collusion 4. Which of the following statements describes a receiving report? A) It is an order to purchase goods from a supplier. B) It is a statement from the supplier showing the goods purchased and the amount due. C) It is a report showing that the goods have been received in good condition, as ordered. D) It is a document authorizing a payment to a supplier. 5. The petty cash fund had an initial imprest balance of $230. It currently has $15 in cash, $3 in miscellaneous petty cash tickets, and an additional \$207 in specific petty cash tickets. The debit to Cash Short \& Over would be A) $5 B) $15 C) $207 D) $210