Which of the Following Observations Is True

question 28

Multiple Choice

Which of the following observations is true?

• A)The effectiveness of an ideal control system should be independent of the people enforcing it.
• B)No internal control structure can ever be completely effective,regardless of the care followed in its design and implementation.
• C)A control system by itself can provide absolute assurance that all fraud will be prevented.
• D)The type of control activities include reactive controls and proactive controls.

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Definitions:

Expected Value

The long-term average or mean of random variables, taking into account all possible outcomes weighted by their probabilities.

Binomial Experiment

A statistical experiment that has exactly two possible outcomes for each trial and a fixed number of trials, where the probability of success is constant.

Variance

A measure of the spread or dispersion of a set of data points around the mean, indicating how much the data values differ from the average value.

Probability Distribution

A mathematical function that provides the probabilities of occurrence of different possible outcomes for an experiment.