Match the following terms with their correct definitions.
-The collection of environmental factors that influence the effectiveness of control procedures
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

The collection of environmental factors that influence the effectiveness of control procedures is known as the control environment.

Answer: B
 Business process risks are the risks associated with the particular processes and operations of a business.

Answer: C
 Control activities are the policies and procedures put in place to mitigate risks and achieve the organization's objectives.

Answer: E
 An internal control system is the framework of policies and procedures put in place to ensure the effectiveness and efficiency of operations, the integrity of financial reporting, and compliance with applicable laws and regulations.

Answer: F
 Safeguarding refers to the measures put in place to protect the assets, resources, and information of an organization.

Answer: G
 Segregation of duties refers to the separation of responsibilities and authorities within an organization to prevent any individual from having control over a transaction from its initiation to its completion.

Answer: H
 Strategic risks are the risks associated with the strategic decisions and actions of an organization, which may impact its long-term success and sustainability.

Match the Following Terms with Their Correct Definitions