Which of the Following Is not a Suggested Procedure to Establish

question 93

Multiple Choice

Which of the following is not a suggested procedure to establish a good control activity over cash disbursements?

• A)pre-signed blank cheques
• B)Different individuals approve and make payments.
• C)Blank cheques are stored with limited access.
• D)The bank statement is reconciled monthly.

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Definitions:

Large Businesses

Companies that typically operate on a large scale with significant asset values, large number of employees, and high volume of sales and production.

Corporations

Legal entities that are separate and distinct from their owners, with the ability to own assets, incur liabilities, and engage in business activities.

Partnership

A legal form of business operation between two or more individuals who share management and profits.

Business-related Debts

Financial obligations incurred in the course of conducting business activities, such as loans, lines of credit, and other forms of borrowing.