Which of the Following Reflects a Weak Internal Control System

question 160

Multiple Choice

Which of the following reflects a weak internal control system?

• A) All employees are well supervised.
• B) A single employee is responsible for comparing a receiving report to an invoice.
• C) All employees must take their vacations.
• D) A single employee is responsible for collecting and recording cash.

Grasp the concept and treatment of Modified Accelerated Cost Recovery System (MACRS) for tax purposes.

Understand accounting for intangible assets and the specifics of their impairment and amortization.

Learn accounting for natural resources and the depletion method.

Grasp the impact of depreciation methods on financial ratios and company financial performance.

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Definitions:

Span of Control

The number of direct reports or subordinates that a manager or leader oversees, affecting managerial efficiency and organizational structure.

Organizational Levels

The layers of hierarchy within an organization, including top management, middle management, and operational staff, each with specific roles and responsibilities.

Geographic Areas

Specific physical locations on the Earth's surface, defined by natural or artificial boundaries.

Functional Departments

Organizational units within a company, built around specific tasks, areas of expertise, or operations, such as marketing, finance, or human resources.