Internal Control Is Weakened by All of the Following Except

question 78

Multiple Choice

Internal control is weakened by all of the following except

• A) collusion.
• B) separation of duties.
• C) effects of changing conditions.
• D) human error.

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Definitions:

Optimal Order Size

The quantity of inventory that minimizes the total costs associated with ordering and holding inventory, often calculated using the Economic Order Quantity model.

Annual Inventory Cost

The total costs associated with holding and managing inventory over a year, including costs related to storage, insurance, and obsolescence.

Average Inventory

The mean value of an entity's inventory over a certain period of time, used in business to help manage stock levels effectively.

Storage Cost

Expenses associated with storing goods or inventory, including warehouse rent, utilities, and handling charges.