Proper Segregation of Duties Reduces the Opportunities to Allow Any

question 80

Multiple Choice

Proper segregation of duties reduces the opportunities to allow any employee to be in a position to both:

• A)Journalize cash receipts and disbursements and prepare the financial statements.
• B)Monitor internal controls and evaluate whether the controls are operating as intended.
• C)Adopt new accounting pronouncements and authorize the recording of transactions.
• D)Record and conceal fraudulent transactions in the normal course of assigned tasks.

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Definitions:

Information-Processing Theory

An approach to understanding how the human mind transforms sensory information, viewing the brain as a complex processing system that encodes, stores, and retrieves information.

Neural Activation Theory

A hypothesis explaining how neural circuits in the brain are activated to form memories or responses; often used in discussions of learning and memory. [Note: This is a conceptual rephrasing. The term "Neural Activation Theory" might not directly refer to a well-established theory by this precise name, but the description fits general understanding of how neural activation underpins cognitive functions.]

Cognitive Development Theory

A theory focusing on the progressive and systematic changes in thinking processes caused by biological maturation and environmental experience.

Wish-Fulfillment Theory

Wish-Fulfillment Theory, often associated with Sigmund Freud, suggests that dreams represent the unconscious desires and wish fulfillment of the dreamer.