Which of the Following Is an Inherent Limitation of Internal

question 23

Multiple Choice

Which of the following is an inherent limitation of internal control?

• A) A control within a software program being overridden or disabled
• B) Human error that results in a breakdown in internal control
• C) Collusion by two or more individuals to circumvent a control
• D) All of the above

Understand the definition and types of international investment funds.

Learn how political risks and exchange rate policies can impact international investments.

Understand the theory underlying the interplay between interest rates and exchange rates, including purchasing power parity and interest rate parity.

Understand the measurement principles of inventories according to AASB 102/IAS 2 including the lower of cost and net realisable value.

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Definitions:

Available Technology

Refers to the current technologies that are accessible for use in various industries to enhance operations, products, or services.

High Fixed Costs

A financial situation where a company has a high proportion of fixed expenses, which do not vary with the level of production or sales.

High Marginal Costs

Situations where the cost to produce one additional unit is significantly high, often affecting pricing and profitability.

High Industry Growth

Refers to the rapid expansion of economic activity within a particular industry, typically measured by revenue, output, or sales increases.