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Which of the Following Statements Is Untrue

Question 17

Multiple Choice

Which of the following statements is untrue.


A) The most effective internal control procedures are preventative.
B) Internal control procedures can be classified into two main types: 1) administrative controls, and 2) accounting controls.
C) Cash management presents a particularly significant internal control challenge in hotels due to the large number of cash transactions occurring in restaurants and bars.
D) High staff turnover in hotels increases the need for hotel managers to have an awareness of internal control procedures.
E) Unlike administrative controls, accounting internal control procedures are primarily concerned with promoting adherence to business policies.

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