Corporate Governance Flashcards Preview

BEC 2018 > Corporate Governance > Flashcards

Flashcards in Corporate Governance Deck (11):
1

Risk Assessment

Process of identifying, analyzing, and managing risks

2

Control Environment

The Foundation of any system of internal control.
Includes:
- organizational structure
- mgmts philosophy towards controls
- system of authority and responsibility
-personnel practices
-policies and procedures

3

Monitoring

Ensures ongoing reliability of info and control processes by monitoring and testing the control system

4

Control activities

the policies and procedures that ensure that actions are taken to address the risks related to the achievement of mgmts objectives.
The routine controls over business processes/transactions

5

Info and communications

Enables an org's personnel to identify, process, and exchange the info needed to manage and control operations.

6

what are types of controls under control activities

verification
physical controls
supervisory controls

7

Risk Appetite

the amount of risk exposure that an org chooses to accept or retain, as opposed to sharing, avoiding, reducing or eliminating the risk

8

Enterprise Risk Mgmt

the methods and processes used by orgs to identify and manage the events and circumstances that influence the orgs ability to achieve its objectives

9

what four activities should be segregated

Authorizing
Safeguarding
Recording
Reconciling, oversight, and auditing

10

What are 3 things the CFO and CEO must certify

-that they've reviewed the 10K and 10Qs
-the reports do not contain any material falsehoods or half-truths
-the financial info is fairly presented.

11

when are the CEO and CFOs bonuses clawed back?

when FSs are materially restated, even if the error is unintentional