If an Increase in One Variable Causes a Decrease in Another

question 154

Multiple Choice

If an increase in one variable causes a decrease in another variable, this is

• A)a direct relationship.
• B)a dependent relationship.
• C)an independent relationship.
• D)an inverse relationship.

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Definitions:

Control Activities

Policies, procedures, and mechanisms implemented by an organization to prevent or detect errors or frauds, ensuring the integrity of financial reporting and compliance with laws and regulations.

Risk Assessment

The process of identifying, evaluating, and estimating the levels of risk involved in a situation, followed by the coordination and economical application of resources to minimize, monitor, and control the probability and impact of unfortunate events.

Idle Cash

Cash that is not currently employed in any investment or operation, therefore not earning any return or interest.

Cash Equivalents

Short-term, highly liquid investments that are easily convertible to known amounts of cash with original maturities of three months or less.