Which of the Following Is NOT a Key Element of Good

question 43

Multiple Choice

Which of the following is NOT a key element of good internal control?

• A)Having competent, reliable and ethical personnel
• B)Having a good working environment for employees
• C)Having separation of duties
• D)Having periodic audits

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Definitions:

LIFO

"Last In, First Out," an inventory valuation method where the most recently produced or acquired items are the first to be expensed.

Gross Profit

The difference between sales revenue and the cost of goods sold, indicating how efficiently a company produces or buys its products.

Ending Inventory

The quantity and monetary value of unsold goods that a company has at the end of an accounting period, to be carried over as the beginning inventory of the next period.

FIFO

First-In, First-Out, an inventory management and valuation method where goods produced or acquired first are sold or used first.