Which of the following is not a component of internal control?
A)assigning to one individual the responsibility for accounting for and custody of assets
B)monitoring of controls via internal and external auditors
C)risk assessment to identify risk areas
D)effective control environment where importance of internal control is emphasized

Question

Quizplus · Accepted Answer

Assigning to one individual the responsibility for accounting for and custody of assets is not a component of internal control because it violates the principle of segregation of duties, which is essential for effective internal control. Segregation of duties helps to prevent fraud and errors by ensuring that no single individual has control over all aspects of a financial transaction.

Which of the Following Is Not a Component of Internal