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NEW QUESTION: 2
Fraud is typically classified as:
A. Market risk
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D. Legal risk
Answer: B

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An internal auditor is evaluating controls over the purchasing function. The function includes the material control department, the purchasing department, and the receiving department. Which of the following is true regarding the presentation of the process flow among the three departments?
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C. A vertical flowchart of each department, showing inputs at the top and outputs at the bottom, would be most useful.
D. A horizontal flowchart, with the departments described across the top and the process flowing horizontally, would be most useful.
Answer: D


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