A Company Uses the Account Code 669 for Maintenance Expense

question 89

Multiple Choice

A company uses the account code 669 for maintenance expense.However, one of the company's clerks often codes maintenance expense as 996.The highest account code in the system is 750.What would be the best internal control check to build into the company's computer program to detect this error?

• A)A check for this type of error would have to be made before the information was transmitted to the data processing centre
• B)Valid-character test
• C)Sequence test
• D)Valid-code test

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Definitions:

Moderate Association

A statistical term describing a relationship between two variables that is not weak, but not strongly predictive either, often indicated by a correlation coefficient that is neither close to 0 nor to 1.

Moderately Strong Association

A statistical term indicating that there is a noticeable but not overwhelming relationship between two variables.

Little or No Association

A term used in statistics to describe a situation where there is minimal or no statistical relationship between two variables.

Nonlinear

Describing a process, relation, or equation in which there is not a straight line relationship between variables.