Match the following terms with their correct definitions.
-Consists of the methods and records used to identify, measure, record, and communicate financial information about a business
A)Accounting system
B)Business process risks
C)Control activities
D)Control environment
E)Internal control system
F)Safeguarding
G)Segregation of duties
H)Strategic risks

Question

Quizplus · Accepted Answer

Accounting system consists of the methods and records used to identify, measure, record, and communicate financial information about a business.

Answer: E
 Internal control system refers to the policies, procedures, and practices implemented within an organization to ensure that its goals are met effectively and efficiently and that its assets are protected from unauthorized use, theft or loss.

Answer: F
 Safeguarding refers to the measures put in place to prevent or minimize the risk of theft, fraud, or other unauthorized activities that could harm an organization.

Answer: G
 Segregation of duties refers to the separation of tasks and responsibilities within an organization in such a way that no single individual has control over all aspects of a transaction or process.

Answer: D
 Control environment refers to the overall attitude, awareness, and actions of management and employees regarding the importance of control and the quality of compliance with policies and procedures.

Answer: C
 Control activities refer to the specific policies, procedures, and practices that are implemented to ensure that management directives are carried out and that risks are mitigated.

Answer: B
 Business process risks refer to the risks associated with the various processes within an organization, including the risk of errors, fraud, theft, or other losses that could impact the organization's financial performance and reputation.

Answer: H
 Strategic risks refer to the risks associated with the long-term goals and plans of an organization, including the potential impact of changes in the business environment, competition, regulatory requirements, and other external factors.

Match the Following Terms with Their Correct Definitions