The SEC Created ISO 27002 to Assist Corporations with Enhancing

question 46

True/False

The SEC created ISO 27002 to assist corporations with enhancing their Internal Control Standards.

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Definitions:

Average Collection Periods

The average amount of time it takes for a business to collect payments owed by its customers, indicating the efficiency of the company’s credit and collection policies.

Credit-Granting Policies

Credit-granting policies are the guidelines a business follows in determining who qualifies for credit, how much credit is offered, and under what terms.

Return On Equity Ratio

A measure of a corporation's profitability that reveals how much profit a company generates with the money shareholders have invested.

Management Effectiveness

The degree to which managerial actions achieve the desired outcomes and objectives through efficient resource use.