The Information and Communication Component of Internal Control Includes Which

question 6

Multiple Choice

The information and communication component of internal control includes which of the following?

• A)The organization deploys control activities through policies that establish what is expected and in procedures that put policies into action.
• B)The organization obtains or generates and uses relevant,quality information to support the functioning of other components of internal control.
• C)The organization identifies and assesses changes that could significantly impact the system of internal control.
• D)All of the above.

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Definitions:

Option Positions

Refers to the holdings an investor has in options contracts, which could be either calls (betting the stock will rise) or puts (betting the stock will fall).

In The Money

A term used in options trading to describe an option that would generate profit if exercised immediately, because the underlying asset's price is favorable to the option's strike price.

Margin Call

A call from a broker to an investor to add more money or securities in order to safeguard against potential losses.

Option Clearing Corporation

An organization that acts as both the issuer and guarantor for option and futures contracts, ensuring the fulfillment of contract obligations.