Which of the Following Observations Is True

question 13

Multiple Choice

Which of the following observations is true?

• A)The effectiveness of an ideal control system should be independent of the people enforcing it.
• B)No internal control structure can ever be completely effective, regardless of the care followed in its design and implementation.
• C)A control system by itself can provide assurance that fraud will be prevented.
• D)The type of control activities include reactive controls and proactive controls.

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Definitions:

Equilibrium Quantity

The quantity of goods or services supplied that is exactly equal to the quantity demanded at the market equilibrium price.

Supply Increases

A situation where the quantity of a good or service that producers are willing to sell at a certain price rises.

Price of Wheat

The cost at which wheat is sold in the market, which can vary based on factors like quality, demand, and supply conditions.

Production Costs

The total expense incurred in the manufacturing of a product or the provisioning of a service, including raw materials, labor, and overhead expenses.