An Effective System of Internal Control Requires That at Least

question 26

True/False

An effective system of internal control requires that at least two individuals be assigned to one cash drawer so that each can serve as check on the other.

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Definitions:

Capital

Financial assets or the financial value of assets, such as cash and goods, used by a business to produce goods or services and achieve its objectives.

Marginal Product

The additional output that is produced by adding one more unit of a specific input, like labor.

Wage Rate

The standard amount of pay given for work performed, typically expressed as an amount per hour or per task completed.

Total Product

The total quantity of output produced by a firm with a given amount of input.