Which of the following is an internal control weakness for a company whose inventory of supplies consists of a large number of individual items?a. Supplies of relatively little value are expensed when purchased.b. The cycle basis is used for physical counts.c. The warehouse manager is responsible for maintenance of perpetual inventory records.d. Perpetual inventory records are maintained only for items of significant value

Auditing: A Risk Based-Approach to Conducting a Quality Audit
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ISBN:9781305080577
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter11: Auditing Inventory, Goods And Services, And Accounts Payable: The Acquisition And Payment Cycle
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Which of the following is an internal control weakness for a company whose inventory of supplies consists of a large number of individual items?
a. Supplies of relatively little value are expensed when purchased.
b. The cycle basis is used for physical counts.
c. The warehouse manager is responsible for maintenance of perpetual inventory records.
d. Perpetual inventory records are maintained only for items of significant value

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