The Principle of Establishing Responsibility Does Not Include

question 215

Multiple Choice

The principle of establishing responsibility does not include

• A) one person being responsible for one task.
• B) authorization of transactions.
• C) independent internal verification.
• D) approval of transactions.

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Definitions:

Performance Measures

Metrics or indicators used to assess the efficiency, effectiveness, and success of an organization's activities.

Net Operating Income

The profit generated from a company's everyday business operations, calculated by subtracting total operating expenses from total revenue.

Turnover

Refers to the rate at which inventory is sold and replaced or the volume of business conducted within a specific period, often used in analyzing business efficiency.

Return On Investment

A measure of financial performance calculated as the net profit divided by the total investment.