As the Effectiveness of Internal Control Increases,what Happens to Control

question 6

Multiple Choice

As the effectiveness of internal control increases,what happens to control risk?

• A)It stays the same.
• B)It increases.
• C)It changes based on the audit procedures conducted.
• D)It decreases.

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Definitions:

Justified

Considered or deemed to be appropriate or valid under the circumstances.

Fundamental Characterization

The basic and essential description or analysis of the intrinsic properties or nature of something.

Legitimate Authority

A form of power that is recognized and accepted by the society or organization over which it is exercised.

Influence

The capacity or power of individuals, organizations, or media to affect others' beliefs, behaviors, or decisions, directly or indirectly.