Kumar Is the Internal Auditor of Tarragon Inc

question 37

Multiple Choice

Kumar is the internal auditor of Tarragon Inc.Kumar wants to put procedures in place to prevent misstatements in owners' equity and ensure proper record keeping.Kumar has suggested that management implement well-defined policies for preparing stock certificates and recording capital stock transactions.What else should Kumar recommend?

• A)independent internal verification of information in the records
• B)having all journal entries in the equity account reviewed by the controller
• C)performing a monthly reconciliation of shareholder's equity
• D)reconciling the dividend payments with the bank statement

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Definitions:

Organism's Behavior

The various movements, actions, and reactions of an organism in response to its environment, often aimed at survival and reproduction.

Learning

Relatively persistent or even permanent change in behavior that results from experience.

Experience

The knowledge or skill acquired by a period of practical exposure to events or activities, often influencing behavior or perceptions.

Phonological Awareness

The skill of recognizing and manipulating sounds in language, such as rhyming, blending sounds, and segmenting words into syllables.