Question content area bottom
Part 1
A.
A company must identify its risks and take necessary steps to minimize them.
B.
Internal auditors monitor company controls to safeguard assets, and external auditors monitor the controls to ensure that the accounting records are accurate.
C.
Risk assessment is the "tone at the top" of the business.
D.
Risk assessment is designed to ensure that the business's goals are achieved.
1 answer
The correct answer that describes the risk assessment component of internal control is:
A. A company must identify its risks and take necessary steps to minimize them.
Risk assessment involves identifying potential risks that could impact the achievement of a company's objectives and determining how to manage those risks effectively.
