Which of the Following Is a Major Control Risk Related

question 41

Multiple Choice

Which of the following is a major control risk related to payroll?

• A)theft of inventory by staff
• B)a dishonest employee cashing a paycheck that was written to a fictitious person
• C)expenses being recorded as assets in order to manipulate earnings
• D)contracts being awarded to relatives of employees

Recognize the regulatory environment governing accountants, including oversight bodies and legal liabilities under various securities acts.

Comprehend the professional standards and liabilities associated with negligence and professional conduct in accounting.

Identify the conditions under which accountants can be held liable to third parties and understand the scope of accountant-client privilege.

Describe the elements of and remedies for breach of contract in the context of accounting services.

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Definitions:

Caregivers

Caregivers are individuals who provide care to those who need assistance due to limitations like age, illness, or disability, offering support across physical, emotional, and personal needs.

Socioeconomic Classes

Categories of society based on economic, occupational, and educational criteria, influencing individuals' lifestyles and opportunities.

Circular Communication

A communication pattern where the message goes through multiple people or channels before reaching the original sender, often leading to changes in the message or misinterpretation.

Rewards

Benefits, both tangible and intangible, given in recognition of one's actions, efforts, or behavior, often used as a motivational tool.