Questions from Financial Accounting

Q: Which of the following is not one of the five categories of

Which of the following is not one of the five categories of control activities? a. Checks on recorded amounts b. Defalcation and financial reporting c. Clearly defined authority and responsibility d....

Q: The internal audit function is part of what element of the internal

The internal audit function is part of what element of the internal control system? a. Control environment b. Monitoring c. Risk assessment d. Control activities

Q: Which of the following is not generally an internal control activity?

Which of the following is not generally an internal control activity? a. Establishing clear lines of authority to carry out specific tasks b. Physically counting inventory in a perpetual inventory sys...

Q: Allowing only certain employees to order goods and services for the company

Allowing only certain employees to order goods and services for the company is an example of what internal control procedure? a. Adequate documents and records b. Clearly defined authority and respons...

Q: Describe two advantages of performing reconciliations of the cash account to the

Describe two advantages of performing reconciliations of the cash account to the balances on the bank statements.

Q: Deposits made by a company but not yet reflected in a bank

Deposits made by a company but not yet reflected in a bank statement are called a. deposits in transit. b. debit memoranda. c. credit memoranda. d. None of the above.

Q: Which one of the following would not appear on a bank statement

Which one of the following would not appear on a bank statement for a checking account? a. Deposits b. Interest earned c. Service charges d. Outstanding checks

Q: Which one of the following is not a cash equivalent?

Which one of the following is not a cash equivalent? a. 180-day note issued by a local or state government b. 90-day U.S. Treasury bill c. 60-day corporate commercial paper d. 30-day certificate of de...

Q: The operating cycle is best described as the time between a

The operating cycle is best described as the time between a. production and sale of inventory. b. the sale of inventory and collection of receivables. c. the formation of the company and the start of...

Q: High level cash management strategies include a. bank reconciliations

High level cash management strategies include a. bank reconciliations b. cash over and short c. petty cash d. delaying payment for suppliers