cash control?
Q: Which of the following internal controls is a common detective control over cash and cash…
A: Internal control is implemented, to maintain effectiveness, efficiency, ,follow the policies,…
Q: Which of the following is not an objective of the cash audit? determine that a. A long-term…
A: Objectives of Cash Audit One of the objectives for a cash audit is to verify that the recorded cash…
Q: Each of the following measures strengthens internal controlover cash receipts except:a. Factoring…
A: Internal Control is the process that allows a company to perform its best and adhere to the…
Q: When a petty cash fund is used, which of the following is true? * A. The petty cashier’s…
A: Solution: "The reimbursement of the petty cash fund should be credited to the cash account" this is…
Q: Identify each of the following reconciling items as part of the cash reconciling process as: (A)…
A: Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with…
Q: ich of the following procedures would an auditor most likely perform to test trols relating to…
A: The given scenario relates with cash receipts. To check the authenticity of the transaction the…
Q: ect the control objective being tested by placing the correct letter in the blank. A. Existence B.…
A: Solution:- Given, Auditors are auditing the cash receipts for Great Wall Corporation. For each audit…
Q: Debate the logic used in the following statement: “The person responsible for handling cash receipts…
A: It may be true that the person responsible for handling cash receipts is more familiar with the…
Q: A minimum cash balance required by a bank is called a.a compensating balance b.an EFT c.cash in…
A: Minimum cash balance : Customers of bank need to maintain minimum balance on their accounts. Minimum…
Q: Which of the following is the best audit procedure for the detection of lapping? a. Comparison of…
A: Lapping means deliberately misappropriation of the funds by the employee of the organization. When…
Q: This test of details of transactions for cash balances involves the counting of all undeposited cash…
A: Accounting is the process of recording, classifying, and summarizing accounting transactions. This…
Q: This test of details of transactions for cash balances involves the counting of all undeposited cash…
A: Accounting is the detailed process of recording, classifying, and summarizing accounting…
Q: What is the major purpose of an imprest petty cash fund? A. to effectively plan cash inflows and…
A: Imprest petty cash fund is cash balance with the petty cashiers for paying little business…
Q: Which of the following are characteristics of an effective control of cash disbursements? I.…
A: Solution: Following are the characteristics of an effective control of cash disbursements: I.…
Q: test of control the cash and cash equivalent and state the purpose for each
A: Test of controls are part of audit procedures to ensure that the internal control system is working…
Q: Explain the relationships among the initial assessed controlrisk, tests of controls and substantive…
A: An evaluation of the efficacy of the controls implemented within an organization is known as the…
Q: In rendering cash count the auditor observed that one of the items being presented by the custodian…
A: Audit refers to the examination as well as investigation of the accounting records and the financial…
Q: Which of the following items appearing on a bank reconciliation require a journal entry to bring the…
A: Bank reconciliation statement is a statement which is prepared to reconcile cash balance as per cash…
Q: Help
A: Internal control refers to the policies and plans of the business organization along with other…
Q: Which of the following is an internal control guideline for better management of cash receipts?…
A: generally, there must be segregation of duties as part of the internal control system. work done by…
Q: What is “Deposit in transit” in bank reconciliation? Select one: A. Subtracted From the Cash…
A:
Q: Which of the following statements are true regarding the control of cash receipts and cash payments?…
A: To control cash receipts and cash payments, Over-the-counter cash sales should be recorded on a cash…
Q: Which of the following should be considered cash equivalents? Post-dated checks Money market with…
A: Cash and cash equivalent means the amount of cash , bank or highly liquid marketable securities…
Q: At Emerson Company, one bookkeeper prepares the cash deposits while the other bookkeeper enters the…
A: Segregation of Duties is a one of the methods of sustainable risk management and internal controls…
Q: The following questions related to cash disbursements are included in the internal control…
A: Audit assertions or financial statement assertions is an important thing to consider while doing the…
Q: The bank reconciliation ? Please explain with full explanation. a. should be prepared by an…
A: Following is the answer to given problem
Q: 1. Prepare the journal entry to establish the petty cash fund.
A: Journal Entries are as follows:
Q: Cash control systems are the methods and procedures used to ensure -- a. That current obligations…
A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…
Q: Cash receipts should be deposited on the day of receipt or the following business day. Select the…
A: Comparing the daily cash receipts with the bank deposits will reveal the promptness of deposit of…
Q: Effective cash management and control includes all of the following excepta. the use of a petty cash…
A: The correct answer is c. purchase of stocks and bonds. Explanation for correct answers:…
Q: Entity A maintains a petty cash fund. At any given point of time, the cash on hand and the petty…
A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…
Q: Which of the following can be considered as an effective control of cash? A. One person handles the…
A: Option A is incorrect because Segregation of duties is an effective control of cash. Option B is…
Q: In preparing for the audit of cash, the auditors perform analytical procedures concerning cash…
A:
Q: Which item is not considered cash and cash equivalents on the balance sheet? a. Unrestricted funds…
A: Cash equivalents are the near-cash items, which are readily convertible into cash. Cash equivalents…
Q: In a two-step bank reconciliation, identify the items that might be necessary to adjust the bank…
A: Bank reconciliation: Bank reconciliation is prepared by an accountant. In order to check the…
Q: PART II — INTERNAL CONTROL OVER CASH RECEIPTS AND DISBURSEMENTS Six internal control principles…
A: Internal Control:-It is a process of ensuring the systematic workflow in the organization with the…
Q: A common audit procedure to verify the existence assertion of cash account balances is: a.…
A: Existence assertion is the assertion that the assets and the liabilities which is appearing the…
Q: Which of the following are characteristics of an effective control of cash disbursements? I.…
A: Cash disbursements: Cash disbursements refers to the cash outflow from the company. The payment can…
Q: The accounting clerk pays all obligations by pre numbered checks. What are the strengths and…
A: It was must obligatory in the internal control over by the cash payments which are taken care by…
Q: Which one of the following statements is true? a.Good cash management practices dictate that a…
A: Cash: Cash is the money which is readily available in the form of currency. Since cash can be easily…
Q: The internal control feature specific to petty cash is A. separation of duties B. assignment of…
A: The Imprest system is basically an accounting system that's helps in tracking how your business is…
Q: Which of the following internal control activities most likely would deter lapping of collections…
A: Internal Control: Internal control is a mechanism or procedure that the company implements so that…
Q: Explain the relationships among the initial assessed controlrisk, tests of controls and substantive…
A: The cash account is affected by the transaction in most of the cycles. Since there is a relationship…
Q: Which one of the following documents is used in the control of cash receipts? a. Purchase…
A: Cash Receipts - Cash Receipts are the receipts which are the supporting document or evidence used by…
Q: List at least 5 control measures per principle of control activities which an organization may…
A: Internal control refers to the mechanism, rules and procedures of the company for preventing fraud,…
Q: In testing controls over cash disbursements, an auditor most likely would determine that the person…
A: The question is related to Auditingbof Cash disbursement.
Q: When journal entries for items in the Ledger Balance of Cash section of the bank reconciliation are…
A: Bank Reconciliation statement is prepared to match the cash balances of cash book and pass book.
I. Separate responsibility for handling and recording cash
II. Daily deposit of all cash received
III. Internal audit at regular intervals
IV. Use of a voucher system
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- Record the following transactions in the cash disbursements journal:Which one of the following documents is used in the control of cash receipts?a. Purchase requisitionsb. Receiving reportsc. Canceled checks from customersd. Bank deposit slipsWhich of the following are characteristics of an effective control of cash disbursements?I. Requiring all checks to be pre-numberedII. Requiring all checks to be signed by one person and countersigned by anotherIII. Requiring approved supporting documents for each check issuedIV. Requiring disbursements to be done in cash from daily receipts prior to making bank deposits to minimize handling of cash a. I, II and III b. I, III and IV c. I and II d. II, III and IV
- Management uses a voucher system to help control and monitor cash payments. Which one or more of the four documents listed below are prepared as part of a voucher system of control? a. Purchase order b. Outstanding check c. Invoice d. Voucher6) Identify and explain the techniques and methods to manage cash receipts and disbursementsPART II — INTERNAL CONTROL OVER CASH RECEIPTS AND DISBURSEMENTS Six internal control principles related to cash transactions are discussed in the textbook. These principles, with code letters, are: CodeInternal Control Principle AEstablishment of responsibility BSegregation of duties CDocumentation procedures DPhysical controls EIndependent internal verification FHuman resource controls Instructions: Match the above principles to the following applications related to cash receipts and cash disbursements by placing the code in the space provided. Each code letter can be used once, more than once, or not at all. ____ 1.The duties of receiving and recording cash should be assigned to different individuals. ____ 2.Daily cash counts should be made by cashier department supervisors. ____ 3.Employees should be required to take vacations. ____ 4.Cash register tapes should be used for over-the-counter receipts. ____…
- Which of the following statements are true regarding the control of cash receipts and cash payments? Over-the-counter cash sales should be recorded on a cash register after each sale.Which of the following is not a basic characteristic of a system of cash control? Group of answer choices use of a voucher system combined responsibility for handling and recording cash daily deposit of all cash received internal audits at irregular intervalsSix internal control principles related to cash transactions are discussed in the textbook. These principles, with code letters, are: CodeInternal Control Principle AEstablishment of responsibility BSegregation of duties CDocumentation procedures DPhysical controls EIndependent internal verification FHuman resource controls Instructions: Match the above principles to the following applications related to cash receipts and cash disbursements by placing the code in the space provided. Each code letter can be used once, more than once, or not at all. ____ 1.The duties of receiving and recording cash should be assigned to different individuals. ____ 2.Daily cash counts should be made by cashier department supervisors. ____ 3.Employees should be required to take vacations. ____ 4.Cash register tapes should be used for over-the-counter receipts. ____ 5.Each check should be compared with approved invoices before…
- Entries are made to the petty cash account when Select one: A. establishing the fund B. recording shortages in the fund C. replenishing the petty cash fund D. making payments out of the fund12. When a petty cash fund is used, which of the following is true? A. Entries that include a credit to the cash account should be recorded at the time the payments from the petty cash fund are made. B. The balance of the petty cash fund should be reported in the statement of financial position as a long-term investment. C. The petty cashier’s summary of petty cash payments serves as a journal entry that is posted to the appropriate general ledger account. D. The reimbursement of the petty cash fund should be credited to the cash account.Which of the following internal controls is a common detective control over cash and cash transactions? a. monthly or periodic bank account reconciliation b. separation of duties between the approval of invoices and the disbursements duties c. authorization for a payroll rate change d. mailing of account statements to customers
