In the Following Situation,which Internal Control Procedure Needs Strengthening

question 152

Multiple Choice

In the following situation,which internal control procedure needs strengthening?
- At Hofstra Services,the operations accountant is responsible for safeguarding and maintaining the pipe inventory and also to record inventory transactions into the journal.A separate accounting clerk keeps records of the cash receipts and payments.The treasurer signs checks and approves contracts.

• A) Assignment of responsibilities
• B) Competent, reliable, and ethical personnel
• C) Separation of duties
• D) Documents

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Definitions:

Encoding

The process of transforming information into a format that can be stored in the brain; a crucial step in the process of creating new memories.

Mental Age

A measure of a person's intellectual development relative to people of their chronological age, indicating how far they have progressed in their cognitive abilities.

Cognitive Abilities

The mental capabilities that involve the acquisition, processing, retention, and application of information, such as memory, reasoning, attention, and problem-solving.

Encoding

The process of translating sensory input into a form or format that can be stored and used by the memory system.