Which of the Following Is Not a Procedure to Maintain

question 131

Multiple Choice

Which of the following is not a procedure to maintain internal controls over cash payments?

• A)A receipt should be provided to each cash customer.
• B)Checks should be properly authorized with approval signatures.
• C)All checks should be prenumbered.
• D)Voided checks should be defaced and retained.

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Definitions:

Market Price

The existing rate for purchasing or selling an asset or service in the market.

Earnings Per Share

A measure of a company's profitability, calculated by dividing the company's profit by the number of outstanding shares of its common stock.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations with its current assets over its current liabilities.

Financial Data

Numerical information reflecting the financial health and operations of a company, including income statements, balance sheets, and cash flow statements.