Which of the Following Procedures Is Incorrect for Establishing and Maintaining

question 202

Multiple Choice

Which of the following procedures is incorrect for establishing and maintaining a petty cash fund?

• A)A check is prepared for a small, fixed amount; when the check is cashed, the money is entrusted to a petty cash custodian.
• B)The company must obtain the cash needed for the fund and record an entry for the establishment of the fund.
• C)When appropriate documentation is presented, cash payments are made from the fund; the petty cash custodian retains the documentation.
• D)When the petty cash fund needs to be replenished, an entry is recorded to recognize an increase in the petty cash account.

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Definitions:

International Gothic

A style of Gothic art that developed in Burgundy, Bohemia, and northern Italy in the late 14th and early 15th centuries, known for its elegance, colorful detailing, and graceful figures.

Or San Michele

A church and a former grain market located in Florence, Italy, known for its architecture and the façade that contains niches with statues of saints made by famous sculptors.

Donatello

A Florentine sculptor of the Renaissance, well-known for his life-like sculptures and innovative techniques, including the development of relief sculpture.

Equestrian Statue

A statue representing a figure, typically historical or legendary, riding a horse, symbolizing leadership and valor.