Which Is a True Statement Regarding a Document Flowchart

question 14

Multiple Choice

Which is a true statement regarding a document flowchart?

• A)A document flowchart illustrates the sequence of logical operations performed by a computer.
• B)A document flowchart is particularly useful in analyzing the adequacy of internal control procedures.
• C)A document flowchart is more useful than a data flow diagram.
• D)A document flowchart is not normally used in evaluating internal control procedures.

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Definitions:

Par Common Stock

The face value of a share of stock as stated in the corporate charter.

Cost Method

An accounting method used to value inventory or investments at their original purchase cost.

Treasury Stock

Shares initially offered by a company and then purchased again by that company, lowering the volume of shares that are actively traded on the market.

Par Common Stock

The face value of common stock as stated in the corporate charter, which has no direct correlation to the market value.