Which of the Following Is Not a Control Concern for Inventory

question 8

Multiple Choice

Which of the following is not a control concern for inventory?

• A) Inventory records are adjusted to reflect the inventory that has been verified through a physical count.
• B) Any decrement in inventory value is properly reflected in the amounts.
• C) Inventory is safeguarded through all stages of movement and the production process.
• D) Reported inventory amounts are properly estimated through management authorization of completeness.

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Definitions:

Catabolism

The breakdown of complex molecules into smaller units, releasing energy in the process.

Anabolism

The aspect of metabolism that involves the creation of complex molecules from simpler ones, leading to growth.

Hydrolysis

A chemical reaction where water is used to break down the bonds of a compound, resulting in the decomposition of that compound into its constitutive elements or simpler compounds.

Oxidation-Reduction

A chemical process involving the transfer of electrons between two substances, affecting their oxidation states and energy levels.