Society.

Management.

Shareholders

Customers.

The purchasing power of money declines.

Potential national income exceeds actual national income.

There is a shortage of essential raw materials and costs are rising.

The rate of unemployment decreases.

 False

 True

Collusion among two or more individuals can result in enterprise risk management failure.

Risk relates to the future that is uncertain.

Companies cannot avoid risk.

Enterprise risk management is subject to management override.

These standards address the internal auditor's responsibilities for obtaining an adequate basis for conclusions to achieve the engagement's objectives.

These standards primarily address the chief audit executive's responsibilities for overseeing the internal audit activity and for adding value to the organization.

These standards address the internal audit activity's focus on planning the engagement; including the engagement's objectives; scope; timing; and resource allocations.

These standards address the engagement team's focus on governance; risk management; and control processes associated with internal auditing.

 True

 False

Control activities.

Information and communication.

The control environment.

Monitoring.

 True

 False

A price floor.

A perfect market.

A monopoly.

A price ceiling.

 False

 True

 False

 True

Excess in Supply; Excess in Demand

Shortage in Supply; Excess in Demand

Shortage in Supply; Shortage in Demand

Excess inSupply; Shortage in Demand

 False

 True

 False

 True