Which of the Following Statements Describes a Voucher

question 94

Multiple Choice

Which of the following statements describes a voucher?

• A) It is an order to purchase goods from a supplier.
• B) It is a statement from the supplier showing the goods purchased and the amount due.
• C) It is a report showing that the goods have been received in good condition, as ordered.
• D) It is a document authorizing a payment to a supplier.

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Definitions:

Treasury Bills

Short-term government securities issued at a discount from the face value and maturing at their face value to create a return to the investors.

Collection Time

The average period it takes for a business to receive payments owed by its customers after a sale has been made.

Lockbox System

A service provided by banks to companies for receiving payments from customers; payments are sent to a post office box and then quickly processed by the bank.

Money Market Securities

Money Market Securities are short-term debt instruments that are highly liquid and considered safe, such as Treasury bills, certificates of deposit, and commercial paper.