INHERENT LIMITATION Definition

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INHERENT LIMITATION is whether the potential effectiveness of an entity's internal control is subject to inherent limitations, e.g., human fallibility, collusion, and management override.

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DEFICIT is a debit balance in the Retained Earnings account resulting from accumulated losses.

BOOT is money received during an exchange to equalize values, e.g. if a person sells his business for an assumption of liabilities and for some cash the cash is boot.

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