Which of the Following Procedures Is Incorrect for Setting Up

question 24

Multiple Choice

Which of the following procedures is incorrect for setting up and maintaining a petty cash fund?

• A)A check is prepared for a fixed amount;when the check is cashed,the money is entrusted to a petty cash custodian.
• B)A journal entry is recorded to establish the fund and obtain the cash.
• C)When appropriate documentation is presented,cash payments are made from the fund;the petty cash custodian retains the documentation.
• D)When the petty cash fund is replenished,a journal entry is recorded to recognize an increase in the petty cash account.

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Definitions:

Positive Word of Mouth

The spread of favorable information and recommendations about a product, service, or brand through conversations among consumers.

Empowerment Gap

The difference between what customers expect in terms of control and influence over a service, and what they perceive they actually receive.

Important Customer

A customer considered valuable to a business due to factors like frequent purchases, high order value, or strategic significance, warranting special attention or service.

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A comparison between tangible items (products) and intangible activities (services) offered in the market.