Internal controls in the acquisition / payment process should address which of the following forms of risk?
A)Liquidity risk
B)Human error risk
C)Both A and B
D)Neither A nor B

Question

Quizplus · Accepted Answer

Internal controls in the acquisition/payment process should address both liquidity risk (ensuring that there is enough cash available to make payments) and human error risk (preventing mistakes in payments or fraud). Therefore, option C is the correct answer as it includes both A and B.

Internal Controls in the Acquisition / Payment Process Should Address