In an AIS, human judgment is important in:
A)The second step of the accounting cycle.
B)The design and implementation of internal controls.
C)Both the second step of the accounting cycle and the design and implementation of internal controls.
D)Neither the second step of the accounting cycle nor the design and implementation of internal controls.

Question

Quizplus · Accepted Answer

Human judgment is important both in the second step of the accounting cycle, which involves recording transactions in the system, and in the design and implementation of internal controls to prevent and detect errors and fraud in the system. Without human judgment, the system may fail to capture important transactions or may have weak controls that expose the organization to risks. Therefore, it is essential to involve knowledgeable and skilled humans in these aspects of AIS.

In an AIS, Human Judgment Is Important In