The Carlton Corp. publishes an employee handbook that contains employee responsibilities for moral behavior including a code of conduct. Each year, employees must acknowledge their receipt of the handbook, their understanding of the code, and if they have any awareness of non-compliance with the company. The policy's would indicate:
a) sound integrity and ethical values are developed and understood and set the standard of conduct for financial reporting.
b) HR practices are designed and implemented to facilitate effective internal controls over financial reporting
c) MGMT and employees are assigned appropriate levels of authority and responsibility to facilitate effective internal controls over financial reporting
d) Management's philosophy and operating style support achieving effective internal control over financial reporting