Each of the following measures strengthens internal controlover cash receipts except:a. Factoring accounts receivable.b. Preparation of a daily listing of all checks receivedthrough the mail.c. The deposit of cash receipts in the bank on a daily basis.d. The use of cash registers.

Q: Which of the following internal controls is a common detective control over cash and cash…

A: Internal control  is implemented, to maintain effectiveness, efficiency, ,follow the policies,…

Q: A petty cash system is designed to a. cash checks for employees b. handle cash sales c. pay small…

A: Petty Cash: This is the money that any business keeps aside for small expenses incurred in the…

Q: he following are commonly performed tests of controls and substantive tests of transactions audit…

A:

Q: The following procedures were recently installed by Raspberry Creek Company: After necessary…

A:

Q: When a petty cash fund is used, which of the following is true? *       A. The petty cashier’s…

A: Solution: "The reimbursement of the petty cash fund should be credited to the cash account" this is…

Q: Which of the following generally would be considered good internal control of cash disbursements? a.…

A: Cash controls:   Management must have a safety measure to protect all assets against possible…

Q: Which procedure is an auditor most likely to use to detect a check outstanding at year-end that was…

A: answer are as follows

Q: The bank reconciliation Select one: A. is sent to the bank for verification B. is for information…

A: Introduction:- Bank reconciliation play vital role in every organization. It identify the balance of…

Q: Each situation below describes an internal control weakness in the cash receipts process.…

A: Given: Each situation below describes an internal control weakness in the cash receipts process. To…

Q: Debate the logic used in the following statement: “The person responsible for handling cash receipts…

A: It may be true that the person responsible for handling cash receipts is more familiar with the…

Q: Which one of the following statements is true? a.The person handling the cash should also prepare…

A: Bank Reconciliation shows cash balance in the books should always reconcile with bank balance in the…

Q: Tott Company has the following internal control procedures over cash disbursements. Identify the…

A: Internal control refers to the policies and plans of the business organization along with other…

Q: Explain why each of the following combinations of tasks should or should not be separated to achieve…

A: Part (a) This combination of tasks should be separated to achieve adequate internal control. If a…

Q: Which of the following control activities would best protect against the preparation ofimproper or…

A: Cash Budget: This budget gives an estimation of all the cash inflows and outflows of a business for…

Q: Which of the following is not an essential cash receipt internal control? Multiple Choice   Have…

A: Internal control means the ways of doing the business and kept a control over the activities of…

Q: In preparing a monthly bank reconciliation, which of the following would be added to the balance per…

A: While preparing bank reconciliation statement with balance as per bank statement to arrive at the…

Q: A petty cash fund is established by transferring a specified amount of cash from the company’s…

A: Normally an individual designated as the petty cash custodian, is responsible for the controlling…

Q: In order to verify the accuracy of the accounting records concerning its cash accounts a person…

A: Reconciliation statement is the statement which is used by the company in order to know and check…

Q: The following is the description of cash disbursements system of Two symbols limites: Upon receipt…

A: Internal control: Internal control is a process which ensures continuous reliability of…

Q: Six internal control principles related to cash transactions are discussed in the textbook. These…

A: Accounting principle: These are the guidelines which are to be applied while preparing the…

Q: Preparing a bank reconciliation on a monthly basis is an example of: A. establishing responsibility…

A: A bank reconciliation is the process by which the balances are matched as between the bank statement…

Q: Which of the following statements are true regarding the control of cash receipts and cash payments?…

A: To control cash receipts and cash payments, Over-the-counter cash sales should be recorded on a cash…

Q: Which of the following is NOT an example of an internal control system?  Select one: a )Prenumber…

A: Internal Control System: It is the process which ensures that organisational objective will be…

Q: The bank reconciliation ? Please explain with full explanation.  a. should be prepared by an…

A: Following is the answer to given problem

Q: Cash receipts should be deposited on the day of receipt or the following business day. Select the…

A: Comparing the daily cash receipts with the bank deposits will reveal the promptness of deposit of…

Q: Nolan Company has the following internal control procedures over cash receipts. Identify the…

A: Internal control refers to the policies and plans of the business organization along with other…

Q: Which of the following can be considered as an effective control of cash? A. One person handles the…

A: Option A is incorrect because Segregation of duties is an effective control of cash. Option B is…

Q: In a two-step bank reconciliation, identify the items that might be necessary to adjust the bank…

A: Bank reconciliation: Bank reconciliation is prepared by an accountant. In order to check the…

Q: he accounting clerk pays all obligations by pre numbered checks. What are the strengths and…

A: It was must obligatory in the internal control over the cash payments which are taken care of by the…

Q: Which of the following are characteristics of an effective control of cash disbursements? I.…

A: Cash disbursements: Cash disbursements refers to the cash outflow from the company. The payment can…

Q: The following reconciling items are applicable to the bank reconciliation for Forde Co.Indicate how…

A: Bank Reconciliation Statement: Bank statement is prepared by bank. The company maintains its own…

Q: amount of cash is accurately recorded on the financial statements. All of the following are…

A: an audit, independent examination of the financial statement of an entity. there are mainly three…

Q: The accounting clerk pays all obligations by pre numbered checks. What are the strengths and…

A: It was must obligatory  in the internal control over by the cash payments which are taken care by…

Q: In your audit of Ginko Company, you have received a cash confirmation and a cutoff statement from…

A: Substantive audit procedures is performed by the auditors to obtain evidence that supports the…

Q: Which of the following internal control activities most likely would deter lapping of collections…

A: Internal Control: Internal control is a mechanism or procedure that the company implements so that…

Q: Which one of the following documents is used in the control of cash receipts? a. Purchase…

A: Cash Receipts - Cash Receipts are the receipts which are the supporting document or evidence used by…

Q: Knowledge Check 01 Which of the following is a correct statement regarding control of…

A: Over-the counter receipts: It refers to the process of trading the securities for the companies not…

Q: The following procedures were recently installed by The China Shop:a. All sales are rung up on the…

A: Internal control: Internal control is a process which ensures continuous reliability of…

Q: Which of the following would the auditor consider to be an incompatible operation if the cashier…

A: An auditor seems to be an individual who checks the authenticity of commercial transactions that…

Q: Which is not a key element of internal control over cash receipts? a. daily recording of all cash…

A: Solution- Considering all the small and large business it is not possible to make daily Bank…

Q: Match each of the following cash payment activities to the internal control principle to which…

A: The internal control principles are referred to as all procedures, plans, and controls implemented…