Chapter 7 Quiz Question 1
The most important element of the fraud triangle is rationalization . Question 2
Requiring employees to take vacations is a weakness in the system of internal controls because it does not promote operational efficiency . Question 3
Under an effective system of internal control , errors occur only as a result of fraud or dishonesty . Question 4
Control over cash disbursements is improved if major expenditures are paid by check . Question 5
Cash equivalents are highly liquid investments that can be converted into a specific amount of cash . Question 6
Which of the following is not one of the main factors that contribute to fraudulent activity ? Question 7
Under the concept of establishment of responsibility , how many people should have the ultimate responsibility ? Question 8
A consequence of separation of duties is that Question 9