Internal Control Is Strengthened by a Policy of Making Payments

question 153

True/False

Internal control is strengthened by a policy of making payments by check, or from cash receipts, or from a petty cash fund.

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Definitions:

Mark-up

The amount added to the cost price of goods to cover overhead and profit, determining the selling price.

Regular Selling Price

The standard or usual price at which a product is sold to consumers, without any discounts or promotions.

Markdown

A reduction in the selling price of goods or services, typically to clear excess inventory or stimulate sales.

Selling Price

The amount of money for which a seller offers goods or services to buyers.