Asked by Anthony Vasquez on May 14, 2024
Verified
Which one of the following below is not an element of internal control?
A) risk assessment
B) monitoring
C) information and communication
D) cost-benefit considerations
Cost-Benefit Considerations
The process of comparing the costs and benefits of a decision, project, or investment to assess its feasibility or profitability.
Internal Control
Procedures and processes implemented by a business to safeguard assets, ensure accurate and reliable financial reporting, and promote compliance with laws and regulations.
- Determine the constituents and purposes of an internal control system.
Verified Answer
NC
Nicolette CoriglianoMay 20, 2024
Final Answer :
D
Explanation :
Cost-benefit considerations are important in decision-making but not considered an element of internal control. The three main elements of internal control are risk assessment, monitoring, and information and communication.
Learning Objectives
- Determine the constituents and purposes of an internal control system.