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IIA-CIA-PART3 · Question #108

Which of the following is an example of an application control?

The correct answer is B. The organization has adopted just-in-time inventory. An organization has a declining inventory turnover but an Increasing gross margin rate, Which of the following statements can best explain this situation?

Control

Question

Which of the following is an example of an application control?

Options

  • AThe organization's operating expenses are increasing.
  • BThe organization has adopted just-in-time inventory.
  • CThe organization is experiencing Inventory theft
  • DThe organization's inventory is overstated.

How the community answered

(57 responses)
  • A
    7% (4)
  • B
    72% (41)
  • C
    16% (9)
  • D
    5% (3)

Explanation

An organization has a declining inventory turnover but an Increasing gross margin rate, Which of the following statements can best explain this situation?

Topics

#application controls#internal controls#IT controls#inventory management

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