Which of the Following Is Essential to Determine Whether Effective

question 75

Multiple Choice

Which of the following is essential to determine whether effective internal control policies and procedures have been prescribed and are being followed?

• A) Developing questionnaires and checklists.
• B) Understanding control policies directed towards operating efficiency.
• C) Understanding the internal control and performing tests of controls.
• D) Observing employee functions and making inquiries.

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Definitions:

Standard Deviations

Metrics that quantify the variations or dispersion around the mean in a data set, showing how spread out the values are.

Project Costs

The total expenditures incurred in the planning, execution, and completion of a project, encompassing materials, labor, and overhead expenses.

Equipment

The necessary items for a particular purpose, including tools, machinery, and appliances.

Commodity

A basic good used in commerce that is interchangeable with other goods of the same type.