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Choose the one best internal control principle that is related to the following: The treasurer of...

Choose the one best internal control principle that is related to the following: The treasurer of a company must take a mandatory vacation every year. a. Independent internal verification. b. Documentation procedures. c. Human resource controls. d. Physical control devices.

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Answer #1

One of the best internal control principle related to the treasurer of the company taking a mandatory vacation every year is to conduct independent internal verification whereby the loopholes if at all created by the person who is authorised can be traced down by allocating the duty to some other person at the time the individual is on a vacation.

By this way the same individual is not his duty for a long period of time and thereby reducing the risk of any fraud or misappropriation of assets.

The treasure going on vacation is not related to any physical control device or any human resource controlled aur documentation procedure as all these are related to internal control principle based on other things like maitaining of records , mandatory employe rotation.

Therefore the correct option is A

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