Which of the Following Describes the Internal Control Procedure "Competent

question 102

Multiple Choice

Which of the following describes the internal control procedure "competent, reliable, and ethical personnel?"

• A)the criticality of information system
• B)the need of training and supervision of employees
• C)monitoring of internal controls by external auditors
• D)purchase of burglar alarms.

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Definitions:

Straight-Line Amortization

A method of calculating equal amortization payments over an asset's useful life or a loan's term.

Interest Expense

The cost incurred by an entity for borrowed funds; this expense is reported on the income statement during the period in which the borrowing occurs.

Straight-Line Method

A method of calculating depreciation of an asset by evenly spreading its cost over the expected useful life.

Semiannual

Occurring twice a year; a rephrasing of Semiannual Interest focusing on the period rather than the transaction.