Payments by EFT Are an Important Internal Control for All

question 49

Multiple Choice

Payments by EFT are an important internal control for all of the following reasons EXCEPT for:

• A)the EFTs provide a record of the payments.
• B)the EFT must be approved by an authorized official.
• C)all EFT payments are made by the cashier in the Accounting Department.
• D)the authorizing official should study the evidence supporting the payment before approving the EFT.

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Definitions:

Consumers

Individuals or entities that use goods or services produced within an economy.

Producers

Individuals or companies that create goods or services for sale or exchange.

Excise Tax

A tax imposed on specific goods, services, or transactions, often aimed at discouraging their use or raising government revenue.

Consumers

Individuals or entities that purchase goods or services for personal use and not for manufacture or resale.