An Information System Is One of the Five Components by Which

question 81

True/False

An information system is one of the five components by which a company can achieve its internal control objectives.

---

Definitions:

Idle Capacity

Unused or underutilized production capacity within a business, often resulting in inefficiency and increased costs.

Organization-Sustaining Costs

Costs that are not directly attributable to any specific business activity, product, or service but are necessary for the overall operation of an organization.

Production Order Processing

The series of steps involved in producing goods or services, from the initiation of the order to its completion.

Cost Analysis Report

A document that details the costs associated with a project or a product, breaking down each component and analyzing its impact on the overall cost.