P3 Exam Dumps : Risk Management

D reviewed a sample of invoices for purchases of plant and equipment and found that C had not signed them C explained that she believed that those were authonsed by someone else although the accounts manual indicates that it was her responsibility

asked C a series of open-ended questions about the operation of the purchases system She did not mention anything about detailed checks of invoices against documents

D examined a sample of invoices to make sure that they had been signed by C AH had been signed

selected a sample of purchase invoices and compared each to the supporting documents that C is supposed to review Every one of D's invoices was supported by the related documents

D worked at a spare desk in the accounts department and quietly watched C without telling her She checked every invoice carefully while D was present

Internal controls are only suitable for large businesses.

Employees could ignore the internal controls.

If Rio does not support the internal control system then the controls may not be adhered to.

Internal controls may slow down the speed with which the architects can respond to enquiries.

Internal controls will usually mean hiring more staff.

To work out the time and resources required for the audit.

To perform substantive tests.

To work out how audit evidence will be obtained.

To perform analytical review to identify possible areas for investigation.

To set out how audit objectives will be achieved.