Proper Segregation of Duties Increases the Chances for Fraud and Promotes

question 51

True/False

Proper segregation of duties increases the chances for fraud and promotes the accuracy of accounting records.

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Definitions:

Revenue Recognition

The accounting principle dictating the specific conditions under which income becomes recognized as revenue on the financial statements.

Accounting System

An accounting system is the method by which financial information is collected, processed, and reported to stakeholders.

Marketing Research

The systematic gathering, recording, and analysis of data and information about customers, competitors, and the market to improve marketing decision-making.

Discontinued Operations

Parts of a company's core business or product lines that have been sold, disposed of, or terminated, no longer continuing its previous course of operation.