Persons Who Authorize Transactions Should Not Handle the Related Asset

question 39

Multiple Choice

Persons who authorize transactions should not handle the related asset. This is an example of which characteristic of internal control?

• A)competent, reliable, and ethical personnel
• B)assignment of responsibilities
• C)proper authorization
• D)separation of duties

---

Definitions:

Maximum Price

The highest price that can be charged for a product or service, often set by regulatory authorities or by market conditions.

Commercial Security Division

A Commercial Security Division specializes in providing security services and solutions to businesses, including surveillance, alarm systems, and access control.

Variable Selling Expense

Expenses that change in proportion to sales volume, including fees for commissions and charges for shipping.

Transfer Price

The price at which goods or services are traded between departments or subsidiaries within the same organization.