One Method of Establishing Proper Internal Control Over Collections of Accounts

question 18

Multiple Choice

One method of establishing proper internal control over collections of accounts receivable is to:

• A)establish a bank lock box.
• B)designate an authorized check signer.
• C)make all disbursements by cash.
• D)set up a petty cash fund.

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Definitions:

Team-Based Incentive Plan

A reward system where workers are compensated based on the performance and achievements of their group or team.

Point System Job Evaluation

A quantitative method of determining the value of a job in relation to other jobs within an organization by scoring it on various factors.

Allocating Points

The process of distributing or assigning points based on certain criteria, often used in scoring systems, evaluations, or resource management.

Individual Incentive Plan

Compensation strategy designed to reward employees based on their individual performance achievements.