Which of the Following Describes the Internal Control Component Risk

question 146

Multiple Choice

Which of the following describes the internal control component risk assessment?

• A) Internal auditors monitor company controls to safeguard assets, and external auditors monitor the controls to ensure that the accounting records are accurate.
• B) Risk assessment is the "tone at the top" of the business.
• C) A company must identify its risks.
• D) Risk assessment is designed to ensure that the business's goals are achieved.

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Definitions:

Steroid Hormone

A type of hormone derived from cholesterol that can pass through cellular membranes and is involved in a wide range of bodily functions.

Nucleic Acid

Organic molecules that serve as the blueprint for proteins and, through the actions of proteins, the entire phenotype of a living organism; includes DNA and RNA.

Hydrolysis

A chemical reaction in which water is used to break down the bonds of a particular substance, commonly involving the disassembly of polymers into monomers.

Nucleotides

The building blocks of DNA and RNA, consisting of a nitrogenous base, a sugar (ribose in RNA, deoxyribose in DNA), and one to three phosphate groups.