Which of the Following Could Signal Internal Control Problems Within

question 66

Multiple Choice

Which of the following could signal internal control problems within the accounting system?
(1) Safeguarding inventory in a locked warehouse
(2) Abuse of alcohol or drugs
(3) Gaps in transactions numbers
(4) Operating style of management
(5) Sudden increase in slow payments

• A) 1 and 2
• B) 3 and 5
• C) 2 and 4
• D) 1 and 3

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Definitions:

Cold Canvassing

The act of contacting potential customers without any prior connection or appointment, often through door-to-door visits or cold calls, in attempts to sell a product or service.

Prospecting Method

Strategies and techniques used by salespeople to identify potential customers or leads who may have an interest in their products or services.

Orphaned Customers

Customers who feel neglected or forgotten by a brand, often after a key salesperson leaves the company.

Direct Mail

A marketing strategy that involves sending advertising materials directly to prospects or customers through postal or electronic mail.