Which of the following is not an internal control procedure?Select one:a.authorizationb.management's operating stylec.accounting recordsd.independent verification
Question
Which of the following is not an internal control procedure?Select one:a.authorizationb.management's operating stylec.accounting recordsd.independent verification
Solution
The option that is not an internal control procedure is b. management's operating style.
Internal control procedures are methods put in place by a company to ensure the integrity of financial and accounting information, meet operational and profitability targets, and transmit management policies throughout the organization.
a. Authorization - This is a control procedure where the responsibility of authorizing transactions is given to specific individuals within the organization. This helps prevent fraudulent activities.
c. Accounting records - Maintaining proper accounting records is a key internal control procedure. It helps in tracking the financial transactions and ensures accuracy and reliability of financial reports.
d. Independent verification - This is a control procedure where an independent party reviews the company's business transactions to ensure accuracy and compliance with established controls.
On the other hand,
b. Management
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