Effective Internal Control Over Accounts Receivable Ensures

question 163

Multiple Choice

Effective internal control over accounts receivable ensures:

• A)That credit is only extended to customers that meet the company's credit standards.
• B)That an approved factor is used when the company sells its accounts receivable.
• C)There is an accurate accounting for cash receipts,cash disbursements,and cash balances.
• D)The availability of adequate cash for conducting business operations.

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Definitions:

Sustainability

Economic development that aims to reconcile global economic growth with environmental protection.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, typically measured by GDP.

Environmental Integrity

The maintenance of the world's physical, biological, and chemical environments to sustain ecosystem health and function.

Centenarians

People who have reached the age of 100 years or older, a milestone achieved by a small fraction of the population.