Choice "B" is correct. When management is dominated by one individual who is also a shareholder, there may be an opportunity for management to override control procedures.
Choice "d" is incorrect. Influence of external parties serves an oversight role that strengthens the control environment and minimizes the effect of management's attitude.
Choice "a" is incorrect. Existence of internal auditors with direct access to the board of directors strengthens the control environment and lessens the effect of management's attitude.
Choice "c" is incorrect. Active participation of those charged with governance serves an oversight role that strengthens the control environment and lessens the effect of management's attitude.