The internal control process that requires physical controls in the warehouse and shipping areas with access to inventory helps to minimize the risk of:
A)Incorrect amounts
B)Stolen goods
C)Omitted returns
D)Duplicate purchase returns

Question

Quizplus · Accepted Answer

Physical controls such as locks, security cameras, and limited access to inventory storage areas can reduce the risk of theft or loss of inventory, making option B the correct answer. Internal controls for accounting may help to prevent options A, C, and D but they do not have a direct impact on physical inventory control.

The Internal Control Process That Requires Physical Controls in the Warehouse