quiz7 w-answers - 1. Internal controls guarantee the...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
1. Internal controls guarantee the accuracy and reliability of the accounting records. True Fals e Score: 0 of 1 2. Segregation of duties reduces the risk of errors and irregularities. True Fals e Score: 0 of 1 3. Collusion is when two or more people are responsible for a single task. True Fals e Score: 1 of 1 4. All disbursements, even for incidental amounts, must be paid by check. True Fals e Score: 1 of 1 5. Deposits in transit are added to the cash balance per books on bank
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
reconciliation. True Fals e Score: 0 of 1 6. Avoiding paying bills too early is an effective cash management principle. True Fals e Score: 1 of 1 7. The financing section of a cash budget shows expected repayment of borrowed principle but does not include repayment of interest. True Fals e Score: 1 of 1 8. Which of the following is not a principle of internal control? Bonding of employees Segregation of duties Collusion between employees Documentation procedures
Background image of page 2
Score: 1 of 1 9. Computer programs that limit unauthorized access to certain files is an example of: independent internal verification documentation procedures human resource controls physical, mechanical, and electronic controls Score: 1 of 1 10. Reasonable assurance rests on the premise that: bonding will prevent employees from stealing. a system of internal controls will prevent errors. employees are basically honest people. the costs of establishing controls should not exceed their expected benefit. Score: 1 of 1 11. When the cashier also keeps the books for a company, which internal control principle is
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/19/2011 for the course ACCOUNTING 102 taught by Professor Singh during the Spring '11 term at Wayne State University.

Page1 / 11

quiz7 w-answers - 1. Internal controls guarantee the...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online