Consider the following short case as you respond to the next nine questions: ABC Consulting's employees include management, consultants and office staff.The company accepts engagements related to internal control design and evaluation, as well as enterprise risk management plans.A customer can purchase the two services independently of one another.The office staff bills clients on a monthly basis with terms of 2/10, n/30.All consulting clients must sign a contract, which is also signed by an ABC manager.One member of ABC's management team assigns at least one consultant to work with the customer until the engagement is complete.Consultants can be assigned to multiple engagements simultaneously, but every consultant must always be working on at least one engagement.Each client may have only one contract with ABC at a time.The smallest possible number of internal agents in the third column of a REA model of the case is:
A)One
B)Two
C)Three
D)None.Internal agents do not appear in the third column of a REA model.

Question

Quizplus · Accepted Answer

The internal agents in this case are management, consultants, and office staff. However, as none of these agents are directly involved in the sale or purchase of resources or the fulfillment of obligations, they do not appear in the third column of a REA model. Therefore, the correct answer is D) None.

Consider the Following Short Case as You Respond to the Next