ACC 406 Exam 1 Questions with Correct Answers Latest Update 2025-2026
Access to credit documentation is restricted. Which of the following is the most restricted
document? - Answers Written-off credit instruments.
This checklist that includes statutes, regulations, and the Internal Audit testing steps is called
what? - Answers Internal Audit Compliance Checklist
Detailed explanations must be provided for question on each checklist for responses and for
exceptions noted during document testing for what type of responses? - Answers All "no" and
"N/A" responses.
The MICS checklist can be given to a casino employee for employee completion? - Answers
False
Regulation 6.090(15) requires an Internal Auditor to determine compliance with - Answers All of
the above
The Gaming Control Board has 5 members? - Answers False it has 3 members
If Internal Audit is used to substitute for CPA work there are no items the CPA is required to be
perform. - Answers False
Which of the following is NOT a purpose of the Gaming Control Board? - Answers To approve,
restrict, limit, condition, deny, revoke, or suspend any gaming license.
When discipline against a gaming licensee is appropriate the Board acts in the judicial capacity
and the Commission acts in the prosecutorial capacity. - Answers False
Board - prosecutorial
Commission - judicial
The Gaming Commission has 5 members? - Answers True
When performing an observation of a required gaming activity (ex. drop and count) the
observation should be performed how? - Answers On an unannounced basis to all employees.
(officers, directors, or employees)
What is the purpose of the gaming control board? - Answers - Eliminate the undesirable
elements in Nevada gaming
- Provide regulations for licensing
- Provide regulations for the operation of gaming
- Establish rules and regulations for all tax reports submitted by the gaming licensees
,- Protect the stability of the gaming industry through investigations, licensing, and enforcement
of laws and regulations
- To ensure the collection of gaming taxes and fees
- To maintain public confidence in gaming
What are the division of the Gaming Control Board? - Answers Administration
Audit
Enforcement
Investigations
Tax and license
Technology
What is the purposes of the Gaming Commission? - Answers - Acting on recommendations of
the Board in licensing matters
- Ruling upon work permit case appeals
- Has the final authority on licensing matters
- Ability to approve, restrict, limit, condition, deny, revoke, or suspend any gaming license
- Adopting regulations to implement and enforce the state laws governing gaming
What does the Internal Audit Compliance Checklist audit? - Answers Statutes and Regulations
What does the CPA MICS Checklist audit? - Answers MICS
Why did the GCB set up an Internal Audit Compliance Reporting Requirement? - Answers To
ensure all gaming licencees are performing a minimum amount and similar types of compliance
procedures with internal audit programs, checklists, and guidelines.
What checklist does the IACC used with? - Answers In conjunction with the CPA MICS
Compliance Checklists
What areas do the IACC cover? - Answers All gaming revenue areas, areas subject to
entertainment tax, interactive gaming, and miscellaneous regulations.
What procedures does Regulation 6.090(15) require for internal auditors to check compliance? -
Answers Perform observations, document examinations, inquiry with employees.
Can employee complete questionnaires be used to replace an in person inquiry? - Answers No
, How often are required procedures checked? - Answers Once each fiscal year except for slots
and table games which is twice a year and branch offices which are once every two or five years.
Observations of drop and count must be? - Answers Unannounced to all employees
Which answers must have an explanation? - Answers No, N/A, and exceptions noted
What does the ICS check? - Answers Actual procedures
How far apart do multiple test dates have to be? - Answers 30 days
If you examine a document you must? - Answers Include documentation by either identifying
form or make a copy of the document.
How long are documents retained? - Answers 5 years
What do you do if you find a procedure that was wrong? - Answers Investigate and make sure
issue has been resolved and results are documented. Usually 6 months.
Who do you report audit work to? - Answers Audit committee and to senior
management/ownership personnel independent of department under review.
What re the CPA MICS Compliance reporting requirements? - Answers Standardized agreed-
upon procedures, sample sizes, document standards and report format required by 6.090(9).
Regulation 6.090 requires? - Answers - Establishes minimum standards for internal control
procedures
- Requires licensee to submit a written system of internal controls
- The submitted system of internal controls is compared to the MICS
- Detailed, narrative description of the licensee's procedures in effect that demonstrate
compliance with the MICS
- Written system of internal controls
What details should be included in the written procedures? - Answers Job titles
Procedures performed
How and where the procedure is performed
What do you reference a written system of internal controls? - Answers Reference to the
applicable MICS number with a table that cross references each MICS to the page number
where each MICS is addressed
What percentage does the CPA have to retest to see if internal audit cross referenced correctly?
Access to credit documentation is restricted. Which of the following is the most restricted
document? - Answers Written-off credit instruments.
This checklist that includes statutes, regulations, and the Internal Audit testing steps is called
what? - Answers Internal Audit Compliance Checklist
Detailed explanations must be provided for question on each checklist for responses and for
exceptions noted during document testing for what type of responses? - Answers All "no" and
"N/A" responses.
The MICS checklist can be given to a casino employee for employee completion? - Answers
False
Regulation 6.090(15) requires an Internal Auditor to determine compliance with - Answers All of
the above
The Gaming Control Board has 5 members? - Answers False it has 3 members
If Internal Audit is used to substitute for CPA work there are no items the CPA is required to be
perform. - Answers False
Which of the following is NOT a purpose of the Gaming Control Board? - Answers To approve,
restrict, limit, condition, deny, revoke, or suspend any gaming license.
When discipline against a gaming licensee is appropriate the Board acts in the judicial capacity
and the Commission acts in the prosecutorial capacity. - Answers False
Board - prosecutorial
Commission - judicial
The Gaming Commission has 5 members? - Answers True
When performing an observation of a required gaming activity (ex. drop and count) the
observation should be performed how? - Answers On an unannounced basis to all employees.
(officers, directors, or employees)
What is the purpose of the gaming control board? - Answers - Eliminate the undesirable
elements in Nevada gaming
- Provide regulations for licensing
- Provide regulations for the operation of gaming
- Establish rules and regulations for all tax reports submitted by the gaming licensees
,- Protect the stability of the gaming industry through investigations, licensing, and enforcement
of laws and regulations
- To ensure the collection of gaming taxes and fees
- To maintain public confidence in gaming
What are the division of the Gaming Control Board? - Answers Administration
Audit
Enforcement
Investigations
Tax and license
Technology
What is the purposes of the Gaming Commission? - Answers - Acting on recommendations of
the Board in licensing matters
- Ruling upon work permit case appeals
- Has the final authority on licensing matters
- Ability to approve, restrict, limit, condition, deny, revoke, or suspend any gaming license
- Adopting regulations to implement and enforce the state laws governing gaming
What does the Internal Audit Compliance Checklist audit? - Answers Statutes and Regulations
What does the CPA MICS Checklist audit? - Answers MICS
Why did the GCB set up an Internal Audit Compliance Reporting Requirement? - Answers To
ensure all gaming licencees are performing a minimum amount and similar types of compliance
procedures with internal audit programs, checklists, and guidelines.
What checklist does the IACC used with? - Answers In conjunction with the CPA MICS
Compliance Checklists
What areas do the IACC cover? - Answers All gaming revenue areas, areas subject to
entertainment tax, interactive gaming, and miscellaneous regulations.
What procedures does Regulation 6.090(15) require for internal auditors to check compliance? -
Answers Perform observations, document examinations, inquiry with employees.
Can employee complete questionnaires be used to replace an in person inquiry? - Answers No
, How often are required procedures checked? - Answers Once each fiscal year except for slots
and table games which is twice a year and branch offices which are once every two or five years.
Observations of drop and count must be? - Answers Unannounced to all employees
Which answers must have an explanation? - Answers No, N/A, and exceptions noted
What does the ICS check? - Answers Actual procedures
How far apart do multiple test dates have to be? - Answers 30 days
If you examine a document you must? - Answers Include documentation by either identifying
form or make a copy of the document.
How long are documents retained? - Answers 5 years
What do you do if you find a procedure that was wrong? - Answers Investigate and make sure
issue has been resolved and results are documented. Usually 6 months.
Who do you report audit work to? - Answers Audit committee and to senior
management/ownership personnel independent of department under review.
What re the CPA MICS Compliance reporting requirements? - Answers Standardized agreed-
upon procedures, sample sizes, document standards and report format required by 6.090(9).
Regulation 6.090 requires? - Answers - Establishes minimum standards for internal control
procedures
- Requires licensee to submit a written system of internal controls
- The submitted system of internal controls is compared to the MICS
- Detailed, narrative description of the licensee's procedures in effect that demonstrate
compliance with the MICS
- Written system of internal controls
What details should be included in the written procedures? - Answers Job titles
Procedures performed
How and where the procedure is performed
What do you reference a written system of internal controls? - Answers Reference to the
applicable MICS number with a table that cross references each MICS to the page number
where each MICS is addressed
What percentage does the CPA have to retest to see if internal audit cross referenced correctly?
