IPA IP 2026 Question 40

A question IPA Japan published in 令和8年度 ITパスポート試験公開問題問40, translated into English. ITPEC is based on the same exams.

Among the descriptions concerning the activities of a company, which of the following is the most appropriate as an activity of internal control?

a)When there is a material error in the content of a financial results announcement, it is promptly disclosed to the public.b)When a payment slip is drawn up, the person who drew it up checks it on his/her own responsibility and gives the final approval.c)Risks are evaluated periodically, and all of the identified risks are dealt with by “avoidance.”d)It is enforced as a rule that internal whistleblowing must always be done through the immediate superior.

Explanation

Promptly disclosing a material error in a financial results announcement — reliable financial reporting, with correct information passed to the outside, is an objective and a component of internal control.

Internal control is the process built into a company's operations to give reasonable assurance of effective operations, reliable financial reporting, compliance and safeguarding of assets. Its components include the control environment, risk assessment and response, control activities, information and communication, and monitoring. Correcting and promptly publishing a material error in financial results is information and communication in service of reliable financial reporting.

Answer (a)

Why not others:

•(b) — the person who draws up a payment slip approving it alone breaks the segregation of duties; the final approval must come from someone else
•(c) — risk response is chosen for each risk: avoid, reduce, transfer or accept. Avoiding every risk would mean giving up much of the business, and is not a response policy
•(d) — a whistleblowing channel must work even when the superior is involved, so it needs routes outside the chain of command; forcing it through the immediate superior defeats it

Key rule: Internal control rests on reliable reporting, segregation of duties, risk responses matched to each risk, and a whistleblowing route independent of the reporting line.

System Audit · AI-written, may contain errors

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This question comes from the past questions IPA Japan publishes, translated into English by ITPEC Practice. ITPEC Practice is an independent study tool and is not affiliated with IPA or ITPEC. See the original paper (PDF) or Report an issue.