Internal Controls in the Acquisition / Payment Process Should Address

question 24

Multiple Choice

Internal controls in the acquisition / payment process should address which of the following forms of risk?

• A)Liquidity risk
• B)Human error risk
• C)Both A and B
• D)Neither A nor B

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Definitions:

Ration Goods

Products that are distributed in limited quantities, often through a system of rationing, due to shortages or wartime conditions.

Efficient

In economics, describing an allocation of resources in which it is impossible to make any one individual better off without making at least one individual worse off.

Price Controls

Government interventions to regulate the maximum or minimum prices of certain commodities or services, aiming to prevent market imbalances.

Market Price

The existing rate at which an asset or service is available for buying or selling in a competitive environment.