Question

Which of the following statements concerning internal controls is true? A. Internal administrative controls are designed to limit the amount of funds spent on investments B. The control procedure prohibits the employment of a husband and wife or other closely related parties C. Internal accounting controls are limited to the policies and procedures used to protect company D. Strong internal controls provide reasonable assurance that the objectives of a company will be accomplished.

Answer 1

Answer:

D

Explanation:

Strong internal controls provide reasonable assurance that the objectives of a company will be accomplished.

Internal controls can refer to actions taken to accomplish specific objectives by a company.

An internal control is put in place by management for the safety of assets, accountability, efficiency, and to stop fraud by employees.