Which of the Following Is Representative of Safeguarding Assets

question 135

Multiple Choice

Which of the following is representative of safeguarding assets?

• A)keeping office supplies under lock and key
• B)reducing expense to increase operating profit
• C)increasing operating profit to increase net income
• D)ensuring maximum use of resources

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Definitions:

Service Department Expenses

Costs associated with the departments that do not directly generate revenue but support other departments that do.

Indirect Factory Expenses

Costs associated with manufacturing that are not directly tied to the product, such as maintenance or factory utilities.

Square Footage

A measurement of area expressed in square feet, commonly used to specify the size of buildings or rooms.

Rent Expenses

Regular payments made for the use of property or equipment owned by another entity.