MAC 2601 EXAM PACK 2023
, internal audit - CORRECT ANSWERS-independent, objective assurance and consulting
activity designed to add value and improve an organization's operations. independence
and objectivity, systematic and disciplined approach
governance - CORRECT ANSWERS-the process conducted by the BOD to authorize,
direct, and oversee management toward the achievement of the organization's
objectives.It is the system of rules, practices, and processes by which a company is
directed and controlled.
risk management - CORRECT ANSWERS-the process conducted by management to
understand and deal with uncertainties that could affect the organization's ability to
achieve its objectives
control - CORRECT ANSWERS-the process conducted by management to mitigate
risks to acceptable levels
assurance - CORRECT ANSWERS-an objective examination of evidence for the
purpose of providing an independent assessment on risk management, control, or
governance processes for the organization
consulting - CORRECT ANSWERS-advisory and related client service activities, the
nature and scope of which are agreed with the client and which are intended to add
value and improve an organizations governance, risk management, and control
processses without the internal auditor assuming management responsibilities
3 components of value proposition - CORRECT ANSWERS-assurance, insight,
objectivity
insight - CORRECT ANSWERS-Internal auditor acts as a catalyst for improving an
organization's effectiveness and efficiency by providing insight and recommendation
based on analyses and assessment of data and business processes.
objectivity - CORRECT ANSWERS-With commitment to integrity and accountability,
internal auditor provides value to governing bodies and senior management as an
objective source of independent advice.
auditing vs accounting - CORRECT ANSWERS-accounting collects, classifies,
summarizes and communicates data, as well as measures and communicates business
events and conditions.
auditing considers business events and conditions also but does not have the task of
measuring or communicating them. they review them for propriety. it is analytical and
investigative
, internal audit - CORRECT ANSWERS-independent, objective assurance and consulting
activity designed to add value and improve an organization's operations. independence
and objectivity, systematic and disciplined approach
governance - CORRECT ANSWERS-the process conducted by the BOD to authorize,
direct, and oversee management toward the achievement of the organization's
objectives.It is the system of rules, practices, and processes by which a company is
directed and controlled.
risk management - CORRECT ANSWERS-the process conducted by management to
understand and deal with uncertainties that could affect the organization's ability to
achieve its objectives
control - CORRECT ANSWERS-the process conducted by management to mitigate
risks to acceptable levels
assurance - CORRECT ANSWERS-an objective examination of evidence for the
purpose of providing an independent assessment on risk management, control, or
governance processes for the organization
consulting - CORRECT ANSWERS-advisory and related client service activities, the
nature and scope of which are agreed with the client and which are intended to add
value and improve an organizations governance, risk management, and control
processses without the internal auditor assuming management responsibilities
3 components of value proposition - CORRECT ANSWERS-assurance, insight,
objectivity
insight - CORRECT ANSWERS-Internal auditor acts as a catalyst for improving an
organization's effectiveness and efficiency by providing insight and recommendation
based on analyses and assessment of data and business processes.
objectivity - CORRECT ANSWERS-With commitment to integrity and accountability,
internal auditor provides value to governing bodies and senior management as an
objective source of independent advice.
auditing vs accounting - CORRECT ANSWERS-accounting collects, classifies,
summarizes and communicates data, as well as measures and communicates business
events and conditions.
auditing considers business events and conditions also but does not have the task of
measuring or communicating them. they review them for propriety. it is analytical and
investigative
