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NEW QUESTION 48

In Ihe context of fraud examination, integrity requires all of the following EXCEPT:

  • A. Avoidance of differences of opinion
  • B. Subordination of desires for personal gain to the interests of clients, employers, and the public
  • C. An ability to analyze situations where no professional rules are specifically applicable and determine right from wrong
  • D. Independence of mental attitude

Answer: A

NEW QUESTION 49

XYZ, Inc. Is a specialty retailer of high-end ergonomic office furniture. The company receives a very large order from ABC Company, a new customer in a different country that wants to pay on credit. Which of the following is MOST ACCURATE regarding the due diligence procedures XYZ should perform on ABC before proceeding with this transaction?

  • A. XYZ should examine ABC's net worth as part of deciding whether to allow the purchase on credit.
  • B. XYZ should perform the same level of due diligence as it would for any other customer to avoid claims of discrimination
  • C. XYZ only needs to undertake due diligence procedures if ABC conducts business in countries with known corruption risks.
  • D. XYZ does not need to take any specific procedures to verify ABC's identity before accepting the transaction

Answer: B

NEW QUESTION 50

According to the Committee of Sponsoring Organizations of the Treadway Commission's (COSO) Internal Control-Integrated Framework (the Framework), there are five interrelated components of a company's internal control. Which of the following is NOT among these five components?

  • A. Control activities
  • B. Risk assessment
  • C. Monitoring
  • D. Ethical culture

Answer: D

NEW QUESTION 51

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