Which of the Following Statements About Internal Control Is Correct

question 6

Multiple Choice

Which of the following statements about internal control is correct?

• A)The establishment and maintenance of internal control is an important responsibility of the internal auditor.
• B)Properly maintained internal control reasonably ensures that collusion among employees cannot occur.
• C)The cost-benefit relationship is a primary criterion that should be considered in designing internal control.
• D)Exceptionally strong internal control is enough for the auditor to eliminate substantive tests on a significant account balance.

Appreciate the complexity of environmental justice issues including the placement of heavy polluters near vulnerable communities.

Understand the theoretical perspectives on species survival including the role of competition and cooperation.

Be aware of the limitations of market forces in addressing environmental problems without regulatory or collective action.

Recognize the significant role of technology in shaping human society and environmental outcomes.

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Definitions:

Lockboxes

A service provided by banks to process payments more quickly by having checks sent to a special post office box instead of the company's address.

Customer Payments

The payments made by customers for products or services received from a company.

Zero-balance Account

A banking arrangement where a company’s bank account is maintained at a zero balance, with funds being transferred from a master account as needed.