During the Paleolithic Age

question 21

Multiple Choice

 During the Paleolithic Age,

• A) only Egypt had an advanced agricultural economy.
• B) both men and women hunted wild animals.
• C) hunting and gathering was the way most people supported themselves.
• D) humans lived only in the southernmost parts of Africa.
• E) communication was maintained through the use of cuneiform.

Identify the components and objectives of an internal control system.

Distinguish between proper and weak internal control practices in managing cash.

Comprehend the corrections and adjustments made during bank reconciliation.

Appreciate the importance of petty cash funds in cash management.

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Definitions:

Prepaid Expense

An asset account that represents costs paid in advance for expenses that will be incurred within a future accounting period.

Accrued Expense

Expenses that have been incurred but not yet paid or recorded in the ledgers.

Accrual Basis Accounting

An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when cash is exchanged.

Cash Basis Accounting

An accounting method that records revenues and expenses when cash is actually received or paid, rather than at the time they are incurred.