Which of the Following Is Not True About Internal Controls

question 118

Multiple Choice

Which of the following is not true about internal controls over the financial reporting process?

• A)The process is developed by management
• B)The process is designed to assure that the company maintains records in sufficient detail to record the transactions of the company to permit the preparation of financial statements
• C)The process is to demonstrate that the company spends its money and acquires and disposes of its assets in ways consistent with the wishes of management
• D)The process ensures that receipts and expenditures of the company are being made only in accordance with the directors of the company

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Definitions:

Hofstede's Framework

A model that identifies and analyzes six cultural dimensions that distinguish countries and their cultures from one another.

High-context Cultures

Cultures where communication relies heavily on underlying unspoken context, shared traditions, and non-verbal cues.

Low-context Cultures

Cultures that rely heavily on explicit and direct communication, valuing clarity and precision in interaction.

Polychronic Cultures

Societies that multitask and manage multiple activities at once, viewing time as fluid.