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Audit is an important tool used to ensure proper........of public fundsQuestion 6Answera.public fundingb.funds flowc.managementd.Control

Question

Audit is an important tool used to ensure proper........ of public funds

Question 6
Answer

  • a. public funding
  • b. funds flow
  • c. management
  • d. Control
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Solution

To determine the correct answer to the question about the role of audit in relation to public funds, let's analyze the options provided:

  1. Public Funding: This term refers to the financial resources provided by the government to support various programs and initiatives. However, it does not directly relate to the auditing process.

  2. Funds Flow: This term describes the movement of funds within an organization or system. While audits may track funds flow, it is not the primary focus of an audit.

  3. Management: This refers to the process of planning, organizing, leading, and controlling resources within an organization. Audits can assess management practices, but "management" alone does not capture the essence of what audits primarily ensure.

  4. Control: This term refers to the measures implemented to safeguard assets, ensure the accuracy of financial reporting, and promote compliance with laws and regulations. An audit primarily ensures the proper control of public funds.

Conclusion

The most fitting answer to the question "Audit is an important tool used to ensure proper........of public funds" is d. Control. Audits are essential for establishing checks and balances on how public funds are utilized, promoting accountability, and ensuring that resources are managed properly.

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