To Maintain an Adequate Separation of Duties,various Functions Within the Customer

question 85

Multiple Choice

To maintain an adequate separation of duties,various functions within the customer order process should be independent of each other.An example of this is

• A) that billing does not have access to the accounts receivable ledger.
• B) that shipping only accepts goods from finished goods that are identified on an independently prepared packing list.
• C) Answers A and B are both correct.
• D) None of these answers is correct.

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Definitions:

Excess Capacity

The situation in which a business can produce more goods or services than currently demanded, often leading to inefficiencies.

Product Life Cycle

The progression of a product through stages of introduction, growth, maturity, and decline in the market.

Commoditization

The process by which unique products become indistinguishable from one another in the eyes of the market, often leading to competition based primarily on price.