Scenario - GCD Industries GCD Industries Is a Multinational Organization

question 61

Multiple Choice

Scenario - GCD Industries GCD Industries is a multinational organization that produces heavy equipment.  It supplies many foreign nations with the necessary equipment to conduct reconstruction after natural disasters.  One of the company's largest sales resulted from the devastation that occurred in Japan after the tsunami hit that nation.  GCD is committed to helping nations recover from destruction brought about by natural phenomenon. GCD prides itself on conducting its business in an honest and ethical manner.  It does not wish to deal with countries that engage in corrupt business practices, but realizes that all nations have differing business practices.  When the need arises for its products, this company strives to impart integrity into all of its business deals with foreign nations regardless of that nation's accepted practices. GCD Industries employs a set of internal controls within its operations to help ensure ethical behavior and to help prevent financial impropriety.  Which one of the following is least likely to be used as an internal control by this company?    

• A) Corrective actions are taken immediately whenever a department goes over its budget
• B)Adequate and accurate documentation and records are maintained
• C)Financial and accounting records are periodically audited
• D)The company has written policies and procedures for all members to follow
• E)All funds due the company and all checks for expenditures are handled by the same person

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Definitions:

Pituitary Gland

A small, pea-sized gland located at the base of the brain, crucial for regulating vital body functions and general wellbeing through the secretion of hormones.

Master Gland

A term often used to describe the pituitary gland due to its critical role in regulating various functions in the body by releasing hormones.

Endocrine System

The endocrine system is a network of glands in the body that produce, store, and secrete hormones, which regulate the body's growth, metabolism, and sexual development and function.

Pulsatile Pattern

Refers to rhythmic variations or fluctuations that occur at regular intervals, often seen in biological processes such as hormone secretion or heartbeats.