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<p>a) Board of Director authorizations, management override, white collar crime and faulty judgment</p> <p>b) Human error, lack of experience, poor training and unethical behavior</p> <p>c) Human error, management override, collusion and faulty judgement</p> <p>d) Envy, greed and pride</p>
Agreed with the answer VENKITARAMAN KRISHNA MOORTHY VRINDAVAN
C) would be my answer as board of directors are expected to be above reproach.
In corporates, where directors are selected by shareholders, the occurrence incorrect director authorisations are less likely; however poor system implementation and parallel system runs causes errors; management overriding before full investigation and reconciliations are common due to time constraints, account reporting deadlines.
In a privately owner managed company, the answer A) would be more appropriate.
White collar crime is always present when there is no management authorisation process.
c) Human error, management override, collusion and faulty judgement
Thanks for the inputs and views. I go with the answer C
the combination of human errors, management override, collusion and faulty judgements are most threatening.
If employees collide and intentionally engage in fraudulence and stealth activities, even a well designed internal control system will fail
a) Board of Director authorizations, management override, white collar crime and faulty judgment
Option (D)
correct answer is D
I think option (a) is right answer.
Answer is D
