Which of the Following Would Be the Best Protection for a Company

question 60

Multiple Choice

Which of the following would be the best protection for a company that wishes to prevent the "lapping" of trade accounts receivable?

• A)Separate duties so that the bookkeeper in charge of the general ledger has no access to incoming mail.
• B)Separate duties so that no employee has access to both checks from customers and currency from daily cash receipts.
• C)Have customers send payments directly to the company's depository bank.
• D)Request that customer's payment checks be made payable to the company and addressed to the treasurer.

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Definitions:

True Premises

Statements or propositions that are accepted as true and serve as the foundational arguments in deductive reasoning.

Logical Relation

A connection or association between concepts or objects that is governed by the principles of logic, indicating how one can influence or relate to another.

Evidence

Information or facts that are used to support the validity of a statement or belief.

Unmanned Rovers

Vehicles equipped for exploring surfaces of planets, moons, or other celestial bodies, which are designed to operate without an onboard human crew.