Effective internal control in a small company that has an insufficient number of employees to permit proper division of responsibilities can best be enhanced by:
A)employment of temporary personnel to aid in the separation of duties.
B)direct participation by the owner of the business in the recordkeeping activities of the business.
C)engaging a CPA to perform monthly bookkeeping.
D)delegation of full, clear-cut responsibility to each employee for the functions assigned to each.

Question

Quizplus · Accepted Answer

Direct participation by the owner in the recordkeeping activities can compensate for the lack of sufficient staff to ensure proper separation of duties, enhancing internal control by closely monitoring business activities.

Effective Internal Control in a Small Company That Has an Insufficient