Internal Controls Policies Related to Cash Payments Include the Following

question 143

Multiple Choice

Internal controls policies related to cash payments include the following:

• A) All payments should be made using cash or EFT rather than by cash.
• B) Only designated personnel are authorized to sign checks.
• C) The person who is authorized to sign checks should be different from the person who prepares checks.
• D) All of these internal control policies relate to cash payments.

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Definitions:

Certified Public Accountant (CPA)

A professional designation given to accountants who pass a licensing examination and meet other state requirements.

American Institute of Certified Public Accountants (AICPA)

A national professional organization for Certified Public Accountants (CPAs) in the United States, setting ethical standards and auditing procedures.

Professional Examination

A test that evaluates an individual's knowledge, skills, and competencies in a particular profession, often required for certification.

Perform Audits

The process of examining an organization's financial records to ensure accuracy and compliance with accounting standards and laws.