Which of the Following Is Required for Effective Control of Cash

question 10

Multiple Choice

Which of the following is required for effective control of cash?

• A) A reconciliation of the bank balance with the cash balance be prepared twice a year.
• B) One person handles the receipts and disbursements of cash.
• C) Cash be deposited monthly in a bank.
• D) Cheques be pre-numbered.

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Definitions:

Mission Statement

A formal summary of the aims and values of a company, organization, or individual.

Charter

A formal document granting rights, privileges, or authority, often used to establish and outline the operations of organizations, corporations, and cities.

Core Values Statement

A declaration that outlines the essential beliefs and guiding principles of an organization.

Business Plan

A detailed document outlining the objectives, strategies, financial projections, and operational guidelines for a new or existing business.