Which Control Would Be Best to Prevent Payments Made to Fictitious

question 59

Multiple Choice

Which control would be best to prevent payments made to fictitious vendors?

• A)allow payments only to approved vendors
• B)restrict access to any payment or approval documents
• C)have an independent bank reconciliation
• D)make sure all documents are in order before approving payments

Comprehend the fundamentals of Generally Accepted Accounting Principles (GAAP) and their application in financial reporting.

Recognize the ethical considerations in accounting decisions and the steps to address ethical dilemmas.

Understand accounting concepts such as capital, liabilities, the basic accounting equation, and how business activities are recorded.

Understand the concepts of amortization, compound interest, and loan calculations.

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Definitions:

Tradeoff

A choice in which taking or maximizing one benefit requires either accepting a cost or sacrificing another benefit.

Delay of Gratification

The act of resisting an immediate reward in preference for a later reward.

Locus of Control

A psychological concept referring to the extent to which individuals believe that they have control over the events in their lives.

Political Tradeoffs

Decisions within political systems that involve sacrificing one policy goal in order to achieve another, often due to limited resources or differing priorities.