Proper Separation of Duties Reduces the Opportunities to Allow Persons

question 4

Multiple Choice

Proper separation of duties reduces the opportunities to allow persons to be in positions to both:

• A)journalize entries and prepare financial statements.
• B)record cash receipts and cash disbursements.
• C)establish internal controls and authorize transactions.
• D)perpetrate a fraud and then conceal it in the books.

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Definitions:

Dismissal

The act of terminating an employee's employment by the employer, often due to performance issues or breaches of contract.

Incompetence

The lack of necessary skills, knowledge, or ability to perform a job or task effectively and to the required standard.

Due Process

In a disciplinary situation, following proper, established rules and procedures and giving employees the opportunity to respond to allegations.

Communications Training

Programs and initiatives focused on improving an individual's or group's ability to effectively convey information, understand others, and manage interpersonal interactions.