Which of the Following Is a Control Problem Related to Segregation

question 39

Multiple Choice

Which of the following is a control problem related to segregation of duties?

• A) Julie writes expense checks and Mark collects cash from customers.
• B) Bob order office supplies and deposits the company's checks.
• C) Steve records receivables and writes off bad debts.
• D) Rebecca records journal entries and orders lunch.

---

Definitions:

Absorption Costing

An accounting method that includes all the costs associated with manufacturing a product, including direct, indirect, fixed, and variable costs.

Break-Even Point

The financial point at which total revenues equal total costs, resulting in no net profit or loss.

Variable Costs

Charges that directly correlate with the volume of production or sales, such as direct labor and materials required for production.

Fixed Costs

These are business expenses that remain the same regardless of the level of production or sales, such as rent or salaries.