[maojunshun]

If we get unreliable courier service , then eventually we will get complained by customer ,who are not receiving goods.

[maojunshun]

6 Which of the following procedures are TESTS OF CONTROL an auditor should perform in testing the inventory
cycle of their client whilst attending the inventory count?
(1) Observe whether the client’s staff are following the inventory count instructions
(2) Review inventory present in the warehouse for evidence of damage or obsolescence
(3) Obtain a sample of the last goods received notes and goods despatched notes and follow through to ensure
inclusion in the correct accounting period
(4) Inspect and review management’s inventory count instructions

A 2 and 3
B 1 and 4
C 1 and 2
D 3 and 4

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(4) Inspect and review management’s inventory count instructions for adequacy

I remember tutor Martin from LSBF do indicate this is the work BEFORE attending stock count , am i wrong?

[maojunshun]

10 Which of the following statements, if any, is/are correct?
(1) Internal auditors should report to the finance director as they understand internal controls and are best placed to
implement any recommendations in a timely manner
(2) Companies are not required to establish and maintain an internal audit function
A 1 only
B 2 only
C Both 1 and 2
D Neither 1 nor 2
——————————————————————————————————————-

(2) Companies are not required to establish and maintain an internal audit function

This is worded so unclearly, even the question set like i following:-

-Companies are required to establish and maintain an internal audit function

OR

-Companies are not required to establish and maintain an internal audit function

I won’t agree both of them:

The Question should be worded like this :-

-It is not a mandatory requirement to establish and maintain an internal audit function

or Companies are not required to establish and maintain an internal audit function but it is better have one………

Then i will agree this answer. This is not an English test , we require a very clear cut question.

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