Question 1

For good controls over cash payments, the person who orders goods from a supplier should always be different from the person who approves the payment.

Accepted Answer

A) True 
 B)False

Question 2

The bookkeeper of Fire Steel, Inc. recorded a $1,596 check as $15,960 in payment of the current month's rent. Which of the following journal entries is needed to adjust for this error in the books of the company?

Accepted Answer

The answer of The bookkeeper of Fire Steel, Inc. recorded...

Question 3

Which of the following illustrates the internal control procedure-separation of duties?

Accepted Answer

A)  Cashiers must not have access to accounting records. 
B)  External auditors will monitor internal controls. 
C)  Electronic devices must be installed to reduce theft. 
D)  The invoices and other documents must be pre-numbered. 
A)  Cashiers must not have access to accounting records. 
B)  External auditors will monitor internal controls. 
C)  Electronic devices must be installed to reduce theft. 
D)  The invoices and other documents must be pre-numbered.

Question 4

Journal entries are required for the reconciling items on the book side because ________.

Accepted Answer

A)  those transactions have not yet been recorded by the bank 
B)  the adjusted balances on both sides are the same amounts 
C)  the amounts are immaterial 
D)  those transactions have not yet been recorded on the company's books 
A)  those transactions have not yet been recorded by the bank 
B)  the adjusted balances on both sides are the same amounts 
C)  the amounts are immaterial 
D)  those transactions have not yet been recorded on the company's books

Question 5

Which of the following statements describes a purchase order?

Accepted Answer

A)  It is an order to purchase goods from a supplier. 
B)  It is a statement from the supplier showing the goods purchased and the amount due. 
C)  It is a report showing that the goods have been received in good condition, as ordered. 
D)  It is a document authorizing a payment to a supplier. 
A)  It is an order to purchase goods from a supplier. 
B)  It is a statement from the supplier showing the goods purchased and the amount due. 
C)  It is a report showing that the goods have been received in good condition, as ordered. 
D)  It is a document authorizing a payment to a supplier.

For good controls over cash payments, the person who orders goods from a supplier should always be different from the person who approves the payment.

The bookkeeper of Fire Steel, Inc. recorded a $1,596 check as $15,960 in payment of the current month's rent. Which of the following journal entries is needed to adjust for this error in the books of the company?

Which of the following illustrates the internal control procedure-separation of duties?

Journal entries are required for the reconciling items on the book side because ________.

Which of the following statements describes a purchase order?

Accounting and the Business Environment

Recording Business Transactions

The Adjusting Process

Completing the Accounting Cycle

Merchandising Operations

Merchandise Inventory

Accounting Information Systems

Receivables

Plant Assets, Natural Resources, and Intangibles

Current Liabilities and Payroll

Partnerships

Corporations

Long-Term Liabilities

Investments

The Statement of Cash Flows

Financial Statement Analysis

Filters

Exam 8: Internal Control and Cash

For good controls over cash payments, the person who orders goods from a supplier should always be different from the person who approves the payment.

The bookkeeper of Fire Steel, Inc. recorded a $1,596 check as $15,960 in payment of the current month's rent. Which of the following journal entries is needed to adjust for this error in the books of the company?

Which of the following illustrates the internal control procedure-separation of duties?

Journal entries are required for the reconciling items on the book side because ________.

Which of the following statements describes a purchase order?

Accounting and the Business Environment

Recording Business Transactions

The Adjusting Process

Completing the Accounting Cycle

Merchandising Operations

Merchandise Inventory

Accounting Information Systems

Receivables

Plant Assets, Natural Resources, and Intangibles

Current Liabilities and Payroll

Partnerships

Corporations

Long-Term Liabilities

Investments

The Statement of Cash Flows

Financial Statement Analysis

Filters