The reporting of accounting information plays a central role in the regulation of business
operations. The importance of sound internal control practices is underscored by the
Foreign Corrupt Practices Act of 1977, which requires publicly owned U.S. corporations to
maintain systems of internal control that meet certain minimum standards. Preventive
controls are an integral part of virtually all accounting processing systems, and much of the
information generated by the accounting system is used for preventive control purposes.
Which one of the following is not an essential element of a sound preventive control
system?