A Set of Procedures and Approvals Designed to Control Cash

question 132

Multiple Choice

A set of procedures and approvals designed to control cash disbursements and the acceptance of obligations is referred to as a(n) :

• A) Internal cash system.
• B) Petty cash system.
• C) Cash disbursement system.
• D) Voucher system.
• E) Cash control system.

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Definitions:

Specific Purpose

A clear, defined goal or objective intended for a particular project or plan.

Duty of Compensation

The obligation to make payment or restitution to someone for loss, suffering, or injury.

Obligation

A legal or moral duty to do or refrain from doing something.

Agent

A person or entity appointed to act on behalf of another in dealings with third parties, often in commercial transactions.