What is a fundamental principle of internal control to prevent fraud?

Question

Quizplus · Accepted Answer

Separating duties and responsibilities is a fundamental principle of internal control to prevent fraud. This ensures that one individual does not have complete control over a transaction from beginning to end, reducing the risk of fraud or errors. This is commonly referred to as the "segregation of duties" principle.

B, C, and D are not valid choices. Requiring employee collusion would not prevent fraud, eliminating internal audits would reduce oversight and increase the risk of fraud, and eliminating independent audits would reduce accountability and transparency.

What Is a Fundamental Principle of Internal Control to Prevent