All of the following are examples of inherent controls except _____.
A) range minimums and maximums
B) broad bands
C) budgets
D) performance evaluation

Question

Quizplus · Accepted Answer

Range minimums and maximums (A) and broad bands (B) both refer to control parameters which are set by management rather than inherent to the system or process. Performance evaluation (D) is a control that is typically located outside of the system being evaluated. Budgets (C), on the other hand, are an example of inherent controls as they are built into the system to limit expenses and ensure compliance with financial goals.

All of the Following Are Examples of Inherent Controls Except