Allowing only certain employees to order goods and services on behalf of the company is an example of what internal control activity?
A)Segregation of duties
B)Safeguarding of assets and records
C)Checks on recorded amounts
D)Clearly defined authority and responsibility

Question

Quizplus · Accepted Answer

Allowing only certain employees to order goods and services on behalf of the company is an example of clearly defined authority and responsibility, where specific employees are authorized to make such transactions and others are not. This helps in preventing unauthorized transactions, fraud, and errors.

Allowing Only Certain Employees to Order Goods and Services on Behalf