A Necessary Element of Internal Control Is

question 135

Multiple Choice

A necessary element of internal control is

• A) database
• B) systems design
• C) systems analysis
• D) information and communication

---

Definitions:

Inflation

The pace at which prices for services and goods generally ascend, reducing the value of money.

P/E Ratios

The Price to Earnings ratio, a valuation metric used to compare the market value of a stock to its earnings per share, indicating how much investors are willing to pay per dollar of earnings.

Expected Growth Rates

Forecasts of how fast particular economic indicators, such as sales or earnings, will grow over a specified period.

PEG Ratio

PEG Ratio stands for Price/Earnings to Growth ratio, a stock's valuation metric that evaluates a stock's price-earnings ratio relative to its earnings growth rate, offering insight into its future potential compared to its current earnings.