Hints of where fraud, mistakes or financial harm can occur in a company is called:
A) the control environment.
B) risk assessment.
C) control procedures.
D) the tone at the top.

Question

Quizplus · Accepted Answer

Risk assessment is the process of identifying and analyzing potential risks and vulnerabilities that may lead to fraud, mistakes, or financial harm in a company. It is an essential step in establishing effective internal controls and risk management practices. The other options also relate to internal control procedures, but they do not specifically address identifying potential risks and vulnerabilities.

Hints of Where Fraud, Mistakes or Financial Harm Can Occur