Components of a System of Internal COntrol

Question 1

What are five components of a system of internal control? (C E)

Answer 1

Control environment

Question 2

What are five components of a system of internal control? (E R)

Answer 2

Entity’s risk assessment process

Question 3

What are five components of a system of internal control? (E P)

Answer 3

Entity’s process to monitor the system of internal control

Question 4

What are five components of a system of internal control? (I)

Answer 4

Information system and communication

Question 5

What are five components of a system of internal control? (C A)

Answer 5

Control activities

Question 6

Control environment (G)

Answer 6

Governance and management functions

Question 7

Control environment (A)

Answer 7

Attitudes, awareness and actions of management

Question 8

Control environment (S)

Answer 8

Sets the tone by creating a culture of honest and ethical behaviour

Question 9

Control environment (P)

Answer 9

Provides an appropriate foundation for other components of internal control

Question 10

What is meant by entity’s risk assessment process?

Answer 10

How management identifies risks and decides upon actions to manage them