Internal Controls Cannot

question 38

Multiple Choice

Internal controls cannot:

• A)Prevent anomalous and undesirable occurrences
• B)Detect anomalous and undesirable occurrences
• C)Correct anomalous and undesirable occurrences
• D)Reverse the effects brought about by anomalous and undesirable occurrences

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Definitions:

Balance Of Payments

A record of all financial transactions between a country and the rest of the world.

Capital Account

In economics, part of a nation's balance of payments that records all transactions involving the purchase and sale of assets such as stocks, bonds, and real estate.

Financial Accounts

Records that track the financial activities and situation of an entity, including assets, liabilities, equity, income, and expenses.

Surplus

The amount by which the quantity of a good or service supplied exceeds the quantity demanded at a specific price.