Question

Which of the following statements regarding effective control system is false?

Group of answer choices

Excessive controls are costly in time and money.

Controls should measure the performance of all areas.

Outdated information is inappropriate.

Controls should be simple.

Answer 1

Excess controls are costly and time taking as these are those controls which if not in place will have no impact and therefore they consume a lot of time and money. Also controls placed in the the system should be so effective that they should measure the performance of all the areas which are related to the controls.

control should not be complicated and should be very simple in order to be understood by any of the person in the company and should be easy-to-follow even for the employees.

Also some of the outdated information can also be used and can be important by placing the control in the system so as to get a proper knowledge about any error or mistake which is done in the past.

Therefore outdated information is appropriate.

So the correct option is 3rd.

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