Of the Following Statements About Internal Control, Which One Is

Of the following statements about internal control, which one is not valid?

A) No one person should be responsible for the custodial responsibility and the recording responsibility for an asset.
B) Transactions must be properly authorized before such transactions are processed.
C) Because of the cost/benefit relationship, a client may apply control procedures on a test basis.
D) Control activities reasonably insure that collusion among employees cannot occur.

Correct Answer:

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