Examlex

Solved

The Controller at Horizon Inc

question 145

Multiple Choice

The controller at Horizon Inc.needs new computers for the accounting department.But there are no guidelines specifying whether he/she can approve purchases of office equipment. In the above situation,which internal control procedure needs strengthening?


Definitions:

Activity-Based Accounting System

An accounting method that allocates costs to specific activities, providing detailed insights into how resources are consumed.

Decentralized Segments

Parts of an organization that operate independently with their decision-making, often allowing for greater responsiveness to local markets or conditions.

Return On Investment

A performance measure used to evaluate the efficiency or profitability of an investment, calculated as net profit divided by the cost of the investment.

Operating Cash Flows

Cash generated from a company's normal business operations.

Related Questions