Which of the Following Helps Manage Risks to Physical Assets

question 93

Multiple Choice

Which of the following helps manage risks to physical assets of a business?

• A) Employees should be allowed easy access of physical assets to assist them with their work.
• B) Inspections should be deemed necessary only when an item is reported missing.
• C) A manager's signature must be required to confirm that an item has been returned to its proper storage.
• D) Only clerical-level employees need to sign for removing items from storage.

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Definitions:

Search Engine

A software system designed to search for information on the World Wide Web.

Long-Run Cost

Costs that a firm incurs when all factors of production and costs are variable, not fixed, in the long term.

Economies of Scale

Cost advantages that enterprises obtain due to their scale of operation, with cost per unit of output decreasing as scale increases.

Diseconomies of Scale

The phenomenon where production costs increase as a firm expands output, leading to reduced efficiency.