What Is the Difference in an Internal Control Flowchart and a System

question 39

Multiple Choice

What is the difference in an internal control flowchart and a system flowchart?

• A) An internal control flowchart uses fewer symbols than a system flowchart.
• B) An internal control flowchart shows functional areas to indicate the authorization of transactions, the custody of assets, and the recording of transactions.
• C) An internal control flowchart is prepared prior to preparing a system flowchart.
• D) An internal control flowchart needs an auditor's input for accurate development.

---

Definitions:

Influencing Odds

The act of affecting the probability or likelihood of a particular outcome or event.

Share the Risk

A strategy where risks are distributed among different parties, such as through partnerships or insurance, to reduce the impact on any single entity.

Conservation

The protection, preservation, management, and restoration of natural environments and wildlife.

Resources

Refers to a broad range of assets, including financial, human, technological, and natural resources, available for use in the production of goods or delivery of services.