Which One of the Following Is an Example of the Concept

question 36

Multiple Choice

Which one of the following is an example of the concept of inherent risk?

• A) Accounting systems with vouchers have many more controls built in, so the risk that there will be errors on the financial statements is reduced.
• B) Loans receivable for a finance company are less likely to be collectible than those of a bank.
• C) Humans make more errors than computers; therefore, a manual accounting system is riskier than a computerised system.
• D) Audits with larger sample sizes are less risky than those with smaller sample sizes.

Comprehend the challenges and considerations in measuring intelligence across different cultures.

Recognize the applications and controversies surrounding the use of intelligence tests for predicting academic and vocational success.

Appreciate the multifaceted nature of intelligence and the existence of different types of intelligence.

Understand the definition and characteristics of various sleep disorders.

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Definitions:

Intangible Outputs

Non-physical results produced by an organization, such as customer satisfaction, brand reputation, or intellectual property.

Service Organisations

Entities that primarily provide intangible products or services to customers rather than physical goods.

Merchandisers

Businesses that purchase goods for resale at a profit, dealing primarily in finished goods rather than services or production.

Physical Products

Tangible items that are produced and then sold to consumers or other businesses.