An Expected Physical or Economic Condition That Dictates the Size

question 43

Multiple Choice

An expected physical or economic condition that dictates the size of one or more financial statement items is a:

• A)cash budget.
• B)stretch plan.
• C)planning assumption.
• D)sustainable growth rate.

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Definitions:

Voucher Register

A record of vouchers that have been prepared, detailing amounts to be paid, accounts affected, and supporting documentation.

Voucher System

A control mechanism in accounting wherein vouchers are prepared as evidence of authorization before transactions are recorded.

Purchase Order

A form used in business to place an order for the buying of goods from a seller.

Receiving Report

A document prepared by the receiving department to evidence the receipt of material or supplies that had been ordered.