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

question 68

Multiple Choice

Which of the following would offer the best protection for a company that wishes to prevent a reoccurrence of a previously detected "lapping" problem with 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 a mandatory vacation policy for employees who both handle cash and enter cash receipts into the system.
• D) Request that customer's payment checks be made payable to the company and addressed to the treasurer.

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Definitions:

Eating Disorders

Mental disorders characterized by abnormal or disturbed eating habits that negatively affect a person's health and wellbeing.

Behavioural Disorder

A type of disorder that involves a pattern of disruptive behaviours in children and adults that last for at least six months and cause problems in school, work, or social relationships.

Mood Disorder

An altered mood state severe enough to interfere with a person’s social and occupational functioning (for example, ability to work or go to school) and whose range of symptoms is not limited to the person’s feelings, but affects other bodily and behavioural systems as well.

Childhood-Onset

Referring to disorders or conditions that begin during the childhood years of an individual's development.