Which of the Following Is an Important Internal Control Over

question 89

Multiple Choice

Which of the following is an important internal control over payroll?

• A) separating the duties of the disbursement of paychecks from the recording of payroll transactions in the ledger
• B) separating the duties of safeguarding property from record-keeping of property
• C) separating the duties of approving invoices from signing disbursement checks
• D) separating the duties of cash disbursement from bank reconciliations

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Definitions:

Indenture Contract

A formal agreement between a bond issuer and the bondholders, specifying the terms of the bond such as the interest rate, maturity date, and other obligations.

Articles of Incorporation

A document filed with a state or governmental body to legally document the creation of a corporation.

Provincial Tax Agreement

An accord between provinces or between the federal and provincial governments regarding the collection and distribution of taxes.

Capital Expenditures

The funds used by a company to acquire or upgrade physical assets such as property, industrial buildings, or equipment.