It would be prudent for a trader to direct accounting entries in the following situation:
A. Never.
B. when senior management of the firm and the Board of Directors are aware and have approved such on an exception basis.
C. When audit controls are',such that the entries are reviewed on a rcgular basis to ensure detection of irregularities.
D. Solely during such times as stafting turnover requires the trader to back-fill until additional personnel can be hired and trained.
Answer:A
In accordance with the separation of duties principle, it would never be appropriate for a trader to direct the accounting entries.