Which of the Following Is a Correct Statement Related to Segregation

question 6

Multiple Choice

Which of the following is a correct statement related to segregation of duties related to fixed assets?

• A)Custody of fixed assets is to be separate from the related record keeping
• B)Custody of fixed assets need not be separate from the purchasing of fixed assets
• C)The IT function of programming need not be separated from the accounting for fixed assets.
• D)All of the above are correct statements related to the segregation of duties.

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Definitions:

Business Strategy

It's a plan of action designed by business leaders to achieve competitive advantage and successfully compete in the market.

Average Total Cost

The total cost of production divided by the number of units produced, indicating the average cost per unit of output.

Competitive Market

An economic scenario where numerous producers and consumers interact, ensuring prices are determined by supply and demand forces without significant influence by any single participant.

Sunk Costs

Expenses that have been incurred and cannot be recovered, regardless of future actions.