Question: 1
Which of the following statements is correct regarding corporate compensation systems and related bonuses?
1) A bonus system should be considered part of the control environment of an organization and should be considered in formulating a report on internal control.
2) Compensation systems are not part of an organization's control system and should not be reported as such.
3) An audit of an organization's compensation system should be performed independently of an audit of the control system over other functions that impact corporate bonuses.
Question: 2
Which of the following are likely indicators of ineffective change management?
1) IT management is unable to predict how a change will impact interdependent systems or business processes.
2) There have been significant increases in trouble calls or in support hours logged by programmers.
3) There is a lack of turnover in the systems support and business analyst development groups.
4) Emergency changes that bypass the normal control process frequently are deemed necessary.
Question: 3
Which of the following strategies is most appropriate for an industry that is in decline?
Question: 4
According to the COSO enterprise risk management (ERM) framework, which of the following is not a typical responsibility of the chief risk officer?
Question: 5
Which of the following is a product-oriented definition of a business rather than a market-oriented definition of a business?
