Internal control is most effective when several people are responsible for a given task.

Question

Quizplus · Accepted Answer

Internal control is most effective when responsibilities are clearly assigned and segregated among different individuals. This ensures that one person does not have too much power or control over a process, reducing the risk of errors or fraud. Therefore, having several people responsible for a given task may actually weaken the internal control system by introducing confusion and overlap in responsibilities. It is important to strike a balance between assigning enough people to a task for adequate segregation of duties while avoiding redundancy and inefficiency.

Internal Control Is Most Effective When Several People Are Responsible