Which of the Following Best Describes the COSO Component "Monitoring

question 58

Multiple Choice

Which of the following best describes the COSO component "monitoring?"

• A)internal auditors are responsible for monitoring internal controls to make sure they are operating as intended
• B)external auditors are responsible for monitoring internal controls to make sure they are operating as intended
• C)user departments are responsible for monitoring internal controls to make sure they are operating as intended
• D)management is responsible for monitoring internal controls to make sure they are operating as intended

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Definitions:

Demand Curve

A graphical representation showing the relationship between the price of a good or service and the quantity demanded by consumers, typically downward sloping.

Perfectly Competitive Markets

Markets in which no individual producer or consumer has the market power to influence prices, characterized by many buyers and sellers, homogeneous products, and free entry and exit.

Economic Profits

The difference between a firm's total revenue and its total costs, including both explicit and implicit costs, measuring the excess over the opportunity cost of capital.

Free Entry

A market condition where firms can freely enter or exit the market without facing significant barriers to entry or exit.