Which of the following is NOT correct? An effective internal control system for any organisation is one that:
A) discourages inefficient use of resources.
B) helps management safeguard assets.
C) assists management in controlling the enterprise.
D) prevents collusion between employees.

Question

Quizplus · Accepted Answer

An effective internal control system should detect and deter collusion between employees rather than prevent it completely. Collusion can sometimes be difficult to detect and prevent entirely, but a well-designed control system can minimize the risk of fraudulent activity.

Which of the Following Is NOT Correct? an Effective Internal