Arthur is warehouse custodian and also maintains the accounting records of the inventory held at the warehouse.Which control activity is violated?
A)documentation
B)review and reconciliation
C)segregation of duties
D)assignment of responsibility

Question

Quizplus · Accepted Answer

Segregation of duties is violated because Arthur is both the custodian of the warehouse (physical handling of inventory) and maintains the accounting records (record-keeping), which should be separated to prevent potential fraud or errors.

Arthur Is Warehouse Custodian and Also Maintains the Accounting Records