Which option describes the handling of collected ARC source documents until they are destroyed?

Which option describes the handling of collected ARC source documents until they are destroyed?

• A. Filed physically
• B. Digitally stored
• C. Securely stored
• D. Archived indefinitely

Answer: (C)

The handling of collected ARC (accounts receivable conversion) source documents requires a focus on maintaining the confidentiality and security of sensitive financial data. The correct choice emphasizes the importance of securely storing these documents. Secure storage means that the documents must be kept in a manner that protects them from unauthorized access, loss, or damage. This might involve using locked cabinets for physical documents or secure servers and encryption for digital documents. Ensuring that sensitive information is securely stored not only complies with privacy regulations but also mitigates risks such as identity theft or data breaches. While physical filing or digital storage could be part of the process, they do not inherently imply that the documents are handled with the necessary security measures that "securely stored" clearly conveys. Similarly, archiving indefinitely would not be appropriate unless security measures are in place to protect long-term storage. Therefore, focusing on secure storage captures the essential requirement of protecting sensitive documents throughout their lifecycle.

The handling of collected ARC (accounts receivable conversion) source documents requires a focus on maintaining the confidentiality and security of sensitive financial data. The correct choice emphasizes the importance of securely storing these documents.

Secure storage means that the documents must be kept in a manner that protects them from unauthorized access, loss, or damage. This might involve using locked cabinets for physical documents or secure servers and encryption for digital documents. Ensuring that sensitive information is securely stored not only complies with privacy regulations but also mitigates risks such as identity theft or data breaches.

While physical filing or digital storage could be part of the process, they do not inherently imply that the documents are handled with the necessary security measures that "securely stored" clearly conveys. Similarly, archiving indefinitely would not be appropriate unless security measures are in place to protect long-term storage. Therefore, focusing on secure storage captures the essential requirement of protecting sensitive documents throughout their lifecycle.