Consider "The inventory management function should be segregated from the cost- accounting function." What is the most appropriate error or fraud from Table X that would become more likely if there were conflicts in these duties?

A. Inventory shortages can be covered up through the adjustment of the inventory records to the physical inventory resulting in an overstatement of inventory. 

B. Unauthorized shipments resulting in theft of goods, leading to an overstatement of inventory 

C. Unauthorized shipments can be made or the theft of goods can be covered up. 

D. Production and inventory costs can be manipulated, leading to an over- or understatement of inventory and net income