Which of the Following Statements Correctly Describes an Imprest System

question 106

Multiple Choice

Which of the following statements correctly describes an imprest system?

• A) An imprest system is an internal control procedure relating to cash receipts.
• B) There is no difference between a petty cash fund and an imprest bank account.
• C) If the transfers from the payroll account to the employees' checking accounts occur without error, the imprest payroll bank account will equal zero after all employees have been paid.
• D) The use of an imprest system eliminates the need for bank reconciliations.

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Definitions:

Oceanic Fracture Zones

Linear oceanographic features caused by the movement of tectonic plates, characterized by significant variations in depth and topography.

Seafloor

The bottom of an ocean or sea, composed of various geological features including ridges, valleys, plains, and trenches, shaped by processes like volcanic activity, sediment deposition, and tectonic movements.

Mid-Ocean Ridges

Oceanic mountain chains that develop due to the movements of tectonic plates, leading to the formation of new sea floor as a result of volcanic eruptions.

Cracks

Thin, linear fractures or separations in materials or geological formations, typically occurring without the displacement of the sides.