Which Situation Indicates an Internal Control Risk in the General

question 51

Multiple Choice

Which situation indicates an internal control risk in the General Ledger/Financial Reporting Systems (GL/FRS) ?

• A) the employee who maintains the cash journal computes depreciation expense
• B) the cash receipts journal voucher is approved by the Treasurer
• C) the cash receipts journal vouchers are prenumbered and stored in a locked safe
• D) the employee who maintains the cash receipts journal records transactions in the accounts receivable subsidiary ledger

---

Definitions:

High Voltages

Electrical voltages significantly higher than those used in standard residential applications, often exceeding 1000 Volts.

Coil Winding Leads

The ends of the wire used in coil windings, serving as connections points for electrical current to enter or leave the coil.

NEMA

An organization representing electrical equipment and medical imaging manufacturers, known for developing performance standards to promote safety and efficiency.

Locked-rotor Starting Current

The high current drawn by an electric motor at startup when the rotor is not yet moving, also known as the starting current.