ACCA Strategic Business Leader (SBL) Practice Exam

Which of the following is an internal control responsibility under SCREAM?

1. Training staff

2. Safeguarding assets

3. Marketing products

4. Customer engagement

The correct answer is: Safeguarding assets

The concept of internal control responsibility under SCREAM emphasizes several critical areas for an organization's governance and operational integrity. Among the listed options, safeguarding assets is a fundamental aspect of internal controls. This responsibility involves implementing measures to protect the organization’s physical and intangible assets from theft, fraud, misuse, or unauthorized access. It ensures that all resources are used efficiently and effectively to achieve the organization's objectives. Proper asset safeguarding includes safeguarding cash, inventory, property, and intellectual property. It can involve physical controls like locks and security systems, as well as procedural controls such as authorization requirements for transactions involving asset usage or disposal. This aspect aligns closely with the goals of internal controls, which aim to enhance accuracy in financial reporting and compliance with laws and regulations. The other options, while essential to the overall functioning of a business, do not directly pertain to the core internal control responsibilities. Training staff, marketing products, and customer engagement, although vital for operational success and effective business processes, do not fall under the classification of internal control activities as defined by SCREAM. Instead, they are part of broader operational management strategies.