Question

Consider the following statements:
1. The main objectives of 'Internal Check' is to prevent and to bring about a speedy detection of frauds only.
2. Internal check is a part of the overall internal control system.

• A. Both are correct
• B. First is correct, but second is incorrect
• C. First is incorrect, but second is correct
• D. Both are incorrect

Answer 1

Answer: (C)

First is incorrect, but second is correct

Internal check is the control mechanism developed in the system to have a control in such a way that one person task is automatically checked by another person.

Internal check is a part of internal control system.