Which of the Following Factors in Assessing Severity of Internal

question 14

Multiple Choice

Which of the following factors in assessing severity of internal control deficiencies indicates that a deficiency that may have been considered a material weakness at an interim date would not be considered a material weakness at the year end?

• A)Remediation of a control deficiency.
• B)Existence of compensating controls.
• C)Complexity and subjectivity of the account balance.
• D)Effectiveness of oversight and governance.

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Definitions:

Canned Vegetable Soup

A processed food item made by combining vegetables and other ingredients, which are then sealed in cans and sterilized for preservation.

Mixing Department

A section within a manufacturing facility where raw materials are combined to form a product, particularly in industries like food, chemicals, and pharmaceuticals.

Bottling Department

A specialized unit within a manufacturing facility where products, typically liquids, are put into bottles for distribution.

Weighted-Average Method

An inventory costing method that assigns a cost to inventory on the basis of the average cost of all similar goods available during the period.