Which of the Following Is NOT a Feature of the Internal

question 32

Multiple Choice

Which of the following is NOT a feature of the internal control of cash payments?

• A) Two staff members should sign the cheques.
• B) The signatories should be involved in invoice approval.
• C) Payments should only be made for properly authorised documentation.
• D) Cheques should be endorsed with a stamp.

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Definitions:

Marginal Cost Curve

A curve that graphically represents the cost of producing one additional unit of a good, typically illustrating how marginal cost varies with the quantity produced.

Competitive Firm

A company operating in a market where it has to set its prices based on the market conditions because it has little to no influence over the market prices.

Output Rises

An increase in the amount of goods or services produced by a company or economy.

Negative Economic Profit

A situation where total costs exceed total revenues, indicating a loss in economic terms.