Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 4 of 11
Which of the following factors are related to opportunities?
II. There are aggressive or unrealistic profitability expectations.
III. Management is dominated by a small group without compensation controls.
IV. There are high turnover rates of accounting and information technology personnel.
V. There is ineffective management monitoring as a result of ineffective oversight by the audit committee.
I. The nature of a firm's operations involves significant related-party transactions. These parties are audited by another firm.
II. There are aggressive or unrealistic profitability expectations.
III. Management is dominated by a small group without compensation controls.
IV. There are high turnover rates of accounting and information technology personnel.
V. There is ineffective management monitoring as a result of ineffective oversight by the audit committee.
User Contributed Comments 4
| User | Comment |
|---|---|
| jmcarr02 | IV isn't a factor, it is a sign ! |
| AusPhD | no jmcarr02, high turnover of these personnel make it easier for others to manipulate the system. |
| judylyh | why is I correct? |
| johntan1979 | Read the notes |
I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt
Learning Outcome Statements
describe motivations that might cause management to issue financial reports that are not high quality and conditions that are conducive to issuing low-quality, or even fraudulent, financial reports
describe mechanisms that discipline financial reporting quality and the potential limitations of those mechanisms
CFA® 2024 Level I Curriculum, Volume 3, Module 10.