What Is the Optimal Point of Reasonable Assurance for Internal

question 55

Multiple Choice

What is the optimal point of reasonable assurance for internal control?

• A) When all possible controls are implemented
• B) When the cost of controls equals the savings on losses from risks
• C) When standard costing is used in inventory accounts
• D) When no discrepancies exist between the inventory physical count and the inventory account balance

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Definitions:

Neurons

Cells specialized for transmitting electrical nerve impulses and communicating information throughout the body.

Structure

The arrangement or organization of components that make up a physical entity or a conceptual framework.

Cortex

The outermost layer of the brain, involved in high-level functions such as consciousness, thought, emotion, reasoning, language, and memory.

Wrinkles

Lines or creases in the skin, often resulting from aging, loss of elasticity, or exposure to sun.