Which of the Following Would Be an Example of Segregation

question 119

Multiple Choice

Which of the following would be an example of segregation of duties?

• A)Sales employees have the ability to delete or modify accounts receivables.
• B)Employees who make sales to customers record the credit sales in the accounts receivables.
• C)Customer refunds are not recorded on a credit note.
• D)Employees depositing funds to the bank do not prepare the bank reconciliation.

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Definitions:

Consideration

Consideration refers to something of value that is exchanged between parties in a contract, making the agreement legally binding.

Gross Inadequacy

A significant disparity or insufficiency, often relating to an offer’s value in a contractual agreement, which may lead to questioning the fairness of the contract.

Consideration

Something of value exchanged between parties in a contract, which is necessary for the contract to be legally binding.

Sufficient Consideration

The value that is deemed adequate by the parties involved and law as part of an agreement or contract, ensuring it is binding and enforceable.