__________ Is the First Step in the Control System

question 54

Multiple Choice

__________ is the first step in the control system.

• A) Establishing strategic objectives
• B) Establishing standards of performance
• C) Taking corrective action
• D) Comparing performance to standard
• E) Measuring previous performance

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Definitions:

Chart of Accounts

An organized list of all the account titles and numbers being used to track financial transactions and prepare financial statements in a company.

Debit Entries

Accounting records that increase expenses or assets, or decrease equity, liabilities, or revenue.

Credit Entries

Credit entries are accounting entries that increase liabilities or equity or decrease assets, recorded on the right side of an accounting ledger.

Cash Account

A ledger account that tracks cash transactions, including receipts and payments, highlighting the available cash balance.