Which of the Following Factors Will Result in Control Risk

question 78

Multiple Choice

Which of the following factors will result in control risk being assessed at a higher level?

• A)Controls are well designed.
• B)There is a lack of supervision of accounting personnel.
• C)Accounting staff are well trained and educated.
• D)The control environment is operating effectively.

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Definitions:

Trademarked Fishing Gear

Fishing equipment that is legally protected against unauthorized use because it bears a distinctive mark, symbol, or name owned by the creator.

Administrative Expenses

Costs associated with the general administration of a business, such as salaries of senior executives and costs of general services.

Franchisee Payment

The financial remuneration a franchisee is required to pay to a franchisor, which may include initial fees, ongoing royalties, and advertising fees.

Business Organization

A legal entity formed to conduct business, which can vary in types such as sole proprietorships, partnerships, corporations, and limited liability companies.