Which of the Following Statements Is Not Correct

question 75

Multiple Choice

Which of the following statements is not correct?

• A)The voucher system is used to improve control over cash disbursements.
• B)The sum of the paid vouchers represents the voucher payable liability of the firm.
• C)The voucher system permits the firm to consolidate payments of several invoices on one voucher.
• D)Many firms replace accounts payable with a voucher payable system.

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Definitions:

Tax

Mandatory financial charge or some other type of levy imposed upon a taxpayer by a governmental organization.

Tax Cuts

Reductions in the amount of taxes that individuals or corporations are required to pay to the government.

Tax Revenue

The monetary gains that are acquired by governments from taxation.

Arthur Laffer

Arthur Laffer is an economist known for the Laffer Curve, which posits that there is an optimal tax rate that maximizes revenue without discouraging economic activity.