Compensating controls
A)occur before the transaction is complete.
B)are controls used by management to offset the risk in another procedure.
C)are used because it is cost effective to implement particular control procedures.
D)if effective will prevent misstatements in a timely fashion.

Question

Quizplus · Accepted Answer

Compensating controls are used by management to mitigate or offset risks that cannot be directly addressed by primary control measures. They serve as an alternative means to achieve control objectives when primary controls are not feasible or cost-effective.

Compensating Controls