Voucher System

question 65

Multiple Choice

Voucher system

• A)Fundamental guidelines applicable to all companies established to minimize the risk of fraud and theft and to increase the reliability and accuracy of the accounting records.
• B)Short-term, highly liquid investment assets that are readily convertible to cash and close enough to their due date so that their market value will not greatly change.
• C)An internal document used to collect information to control cash payments and to ensure that a transaction is properly recorded.
• D)An income statement account used to record the income effects of cash overages and cash shortages arising from missing petty cash receipts or errors in making change.
• E)A measure of how quickly a company can convert its accounts receivable into cash.
• F)Principle that says the costs of internal controls must not exceed their benefits
• G)A set of procedures and approvals designed to control cash payments and the acceptance of liabilities.
• H)Used by the bank to verify signatures of persons authorized to write checks.
• I)A report explaining any differences between the checking account balance according to the depositor's records and the balance reported on the bank statement.
• J)The ability of a company to pay for its near-term obligations.

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Definitions:

Repair People

Professionals specialized in fixing or mending machinery, equipment, or structures to ensure proper function and reliability.

Demand for Labor

The total demand for workers in an economy, which is influenced by wages, productivity, and the overall level of economic activity.

Price of Product

The amount of money required to purchase a good or service, determined by factors like cost of production, competition, and demand.

Technological Change

The overall process of invention, innovation, and diffusion of technology or processes.