Internal Control Is Defined as the Process Effected by an Entity's

question 54

Multiple Choice

Internal control is defined as the process effected by an entity's board of directors, management, and other personnel designed to provide reasonable assurance regarding the achievement of objectives in the all of the following categories EXCEPT:

• A) Compliance controls - relating to the entity's compliance with applicable laws and Regulations.
• B) Operations controls - relating to the effective and efficient use of the entity's resources.
• C) Information and communication.
• D) Financial reporting controls - relating to the preparation of reliable published financial statements

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Definitions:

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration, absorbed by plants in photosynthesis.

Double-Blind Study

A research method in which both the subjects and the researchers are unaware of which group (test or control) the subjects belong to, to prevent bias.

Experimental

Pertaining to a methodical procedure carried out with the goal of verifying, falsifying, or establishing the validity of a hypothesis.

Control Groups

Groups in an experiment that do not receive the treatment being tested, enabling comparison to groups that do receive the treatment to assess its effect.