Which of the Following Is Not One of the Controls

question 77

Multiple Choice

Which of the following is not one of the controls for the mail room where customer payments are commingled with other mail?

• A) Requiring the controller to be personally present when mail is received and opened
• B) Preparing a remittance list as mail is opened
• C) Restrictively endorsing checks when received
• D) Requiring two mail room clerks to open mail together

---

Definitions:

Current Ratio

A financial metric quantifying a firm's capability to fulfill its short-term liabilities with its present assets.

Aging Schedule

Breaks down accounts receivable according to how long they have been outstanding. This gives the firm a more complete picture of the structure of accounts receivable than that provided by days’ sales outstanding.

DSO

The average duration a company needs to collect payment post-sale is known as Days Sales Outstanding.

Seasonal Sales

Variations in sales volume that occur at specific times of the year due to factors like holidays or seasons.