Which of the following is NOT a goal of sound control-related policies?

Prepare for the CPFO Accounting Test. Study with multiple choice questions, each with hints and explanations. Set yourself up for success!

Sound control-related policies are designed to enhance the reliability and effectiveness of an organization's operations. One key focus is on maintaining and promoting the integrity of financial reporting and compliance with laws and regulations.

To prevent errors and irregularities is a fundamental goal of sound control policies. Organizations implement various processes and procedures to mitigate risks and ensure that transactions are recorded accurately. This proactive approach is essential for safeguarding assets and maintaining trust with stakeholders.

Detecting errors after they occur is also a goal of control policies, although it is often viewed as a reactive measure. Controls are established to monitor operations, facilitating the identification of discrepancies or issues, thus allowing for corrective actions to be taken.

Providing a framework for accountability is integral to sound control policies. This includes establishing clear roles and responsibilities, creating checks and balances, and ensuring that all employees understand their obligations regarding the handling of resources. Accountability fosters a culture of responsibility and transparency within the organization.

On the other hand, eliminating all forms of documentation is not consistent with the principles of effective control policies. Documentation serves critical functions in creating an audit trail, supporting transparency, and ensuring that transactions can be traced and verified. Minimizing documentation tends to weaken controls and can lead to increased errors, fraud, and a lack of accountability. Hence

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