Which of the following is NOT an example of an inefficiency that could be uncovered in a performance audit?
A) The administration work could be completed effectively with less employees.
B) The assembly line shut down as necessary materials were not ordered.
C) Bids for purchases of materials is not required.
D) Purchases of inventory must be from approved suppliers.

Question

Quizplus · Accepted Answer

Purchases of inventory from approved suppliers is not an example of inefficiency, but rather a procurement policy or requirement. The other options describe potential inefficiencies in resource utilization, procurement procedures, and supply chain management.

Which of the Following Is NOT an Example of an Inefficiency