Which of the Following Refers to a Deficiency Where There

question 86

Multiple Choice

Which of the following refers to a deficiency where there is more than a remote possibility that a material misstatement could occur in the financial statements due to a breakdown in the system of internal control?

• A)Material weakness
• B)Significant deficiency
• C)Control deficiency
• D)Insignificant deficiency

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Definitions:

Paired-Choice Majority Voting

A voting method where alternatives are voted on in pairs, with the winner from each pair moving on to subsequent rounds until a majority winner is chosen.

Voting Order

Voting order refers to the predetermined sequence in which individuals or groups are called upon to cast their votes, often used in structured decision-making processes or elections.

Majority Voting

A decision-making process in which the option receiving more than half of the votes wins, commonly used in democratic elections and organizations.

Economically Inefficient Outcomes

Occurs when resources are not utilized or allocated optimally, leading to waste or a loss in potential value.