Which of the following is an essential element of internal control?
A) Computerized accounting systems
B) An outsourced internal audit function
C) Procedures for proper authorization of transactions
D) Verification by government agencies

Question

Quizplus · Accepted Answer

Procedures for proper authorization of transactions is an essential element of internal control. It helps to ensure that transactions are properly authorized, recorded, and executed in accordance with established policies and procedures. Computerized accounting systems and outsourced internal audit function are helpful but not essential elements. Verification by government agencies is not an element of internal control, as it is an external check on the accuracy and completeness of financial reporting.

Which of the Following Is an Essential Element of Internal