Asked by Ramanan Srinivasagopalan on Jun 14, 2024
Verified
A necessary element of internal control is
A) a database
B) systems design
C) systems analysis
D) information and communication
Internal Control
Processes designed to ensure the reliability of financial reporting, effectiveness and efficiency of operations, and compliance with laws and regulations.
- Comprehend internal control elements and their importance in managing and safeguarding a company’s assets.
Verified Answer
AS
Anshika SrivastavaJun 15, 2024
Final Answer :
D
Explanation :
Information and communication are critical components of internal control as they help ensure that relevant information is captured, processed, and communicated in a timely manner to support decision-making and mitigate risks. Effective communication also helps foster a culture of accountability and transparency within an organization. While databases, systems design, and systems analysis may support internal control, they are not necessary elements on their own.
Learning Objectives
- Comprehend internal control elements and their importance in managing and safeguarding a company’s assets.
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