Close Icon
Info
Warning
Danger

Accounting Expert Answers & Study Resources : Page 603

The vast field of accounting contributes to one of the largest subjects in our study resources. Accounting flashcards, homework answers for textbooks & other learning aids can increase your competency in this domain instantly. Become a top student with our support. Search Now…

Ask an Expert

Our Experts can answer your tough homework and study questions.

Answers in as fast as 15 minutes
Post a Question
Subjects icon
150245 Materials
0 Students Benefited

11.Which document is least important in determining the financial value of a purchase? a.purchase requisition b.purchase order c.receiving report d.supplier’s invoice 12.In a merchandising firm, authorization for the payment of inventory is the responsibility of a.inventory control b.purchasing c.accounts payable d.cash disbursements 13.In a merchandising firm, authorization for the purchase of inventory is the responsibility of a.inventory control b.purchasing c.accounts payable d.cash disbursements 14.When purchasing.

Homework Answers
16 Views

16.A physical inventory count is an example of a a.preventive control b.detective control c.corrective control d.feedforward control 17.The bank reconciliation uncovered a transposition error in the books. This is an example of a a.preventive control b.detective control c.corrective control d.none of the above 18.In balancing the risks and benefits that are part of every ethical decision, managers receive guidance from.

Homework Answers
7 Views

21.While the Sarbanes-Oxley Act prohibits auditors from providing non-accounting services to their audit clients, they are not prohibited from performing such services for non-audit clients or privately held companies. 22.The Sarbanes-Oxley Act requires the audit committee to hire and oversee the external auditors. 23.Section 404 requires that corporate management (including the CEO).

Homework Answers
11 Views

ESSAY 1.Describe the key activities in the revenue, conversion, and expenditure cycles. 2.Categorize each of the following activities into the expenditure, conversion or revenue cycles and identify the applicable subsystem. a.Preparing the weekly payroll for manufacturing personnel. b.Releasing raw materials for use in the manufacturing cycle. c.Recording the receipt of payment for goods sold. d.Recording the.

Homework Answers
10 Views

11.Ideally, payroll checks are written on a special bank account used only for payroll. 12.The supervisor is the best person to determine the existence of a “phantom employee” and should distribute paychecks. 13.Payroll processing can be automated easily because accounting for payroll is very simple. 14.Timekeeping is part of the personnel function. 15.Fixed asset.

Homework Answers
9 Views

TRUE/FALSE 1.Time cards are used by cost accounting to allocate direct labor charges to work in process. 2.The personnel department authorizes changes in employee pay rates. 3.Most payroll systems for mid-size firms use real-time data processing. 4.To improve internal control, paychecks should be distributed by the employee's supervisor. 5.Employee paychecks should be drawn against a.

Homework Answers
17 Views

11.Customers should be billed for backorders when a.the customer purchase order is received b.the backordered goods are shipped c.the original goods are shipped d.customers are not billed for backorders because a backorder is a lost sale 12.Usually specific authorization is required for all of the following except a.sales on account which exceed the credit limit b.sales of.

Homework Answers
22 Views

31.The data processing method that can shorten the cash cycle is a.batch, sequential file processing b.batch, direct access file processing c.real-time file processing d.none of the above 32.Which of the following is not a risk exposure in a microcomputer accounting system? a.reliance on paper documentation is increased b.functions that are segregated in a manual environment may be.

Homework Answers
16 Views

MULTIPLE CHOICE 1.The purpose of the purchase requisition is to a.order goods from vendors b.record receipt of goods from vendors c.authorize the purchasing department to order goods d.bill for goods delivered 2.The purpose of the receiving report is to a.order goods from vendors b.record receipt of goods from vendors c.authorize the purchasing department to order goods d.bill for goods delivered 3.All.

Homework Answers
6 Views

21.The personnel action form provides authorization control by a.preventing paychecks for terminated employees b.verifying pay rates for employees c.informing payroll of new hires d.all of the above 22.Accounting records that provide the audit trail for payroll include all of the following except a.time cards b.job tickets c.payroll register d.accounts payable register 23.Personnel actions forms are used to do all of.

Homework Answers
6 Views

18.What are the key points of the “Issuer and Management Disclosure” of the Sarbanes-Oxley Act? 19.In this age of high technology and computer based information systems, why are accountants concerned about physical (human) controls? 20.How has the Sarbanes-Oxley Act had a significant impact on corporate governance? 21.Discuss the non accounting services that external.

Homework Answers
11 Views

11.A written customer purchase order is required to trigger the sales order system. 12.Inventory control has physical custody of inventory. 13.The principal source document in the sales order system is the sales order. 14.Sales orders should be prenumbered documents. 15.Integrated accounting systems automatically transfer data between modules. 16.If a customer submits a written purchase order,.

Homework Answers
13 Views

6.One characteristic of employee fraud is that the fraud a.is perpetrated at a level to which internal controls do not apply b.involves misstating financial statements c.involves the direct conversion of cash or other assets to the employee’s personal benefit d.involves misappropriating assets in a series of complex transactions involving third parties 7.Forces which may permit.

Homework Answers
10 Views

SHORT ANSWER 1.Which internally generated document should be compared to the supplier’s invoice to verify the price of an item? 2.Which internally generated document should be compared to the supplier’s invoice to verify the quantity being billed for? 3.List specific jobs that should be segregated in the purchases processing system. 4.List specific jobs that.

Homework Answers
10 Views

11.The external auditor is responsible for establishing and maintaining the internal control system. 12.Segregation of duties is an example of an internal control procedure. 13.Controls in a computer-based information system are identical to controls in a manual system. 14.Preventive controls are passive techniques designed to reduce fraud. 15.Ethical issues and legal issues are essentially.

Homework Answers
18 Views

21.The cash disbursement clerk performs all of the following tasks except a.reviews the supporting documents for completeness and accuracy b.prepares checks c.signs checks d.marks the supporting documents paid 22.When a cash disbursement in payment of an accounts payable is recorded a.the liability account is increased b.the income statement is changed c.the cash account is unchanged d.the liability account is.

Homework Answers
12 Views

6.Resource use is one characteristic used to distinguish between batch and real-time systems. Explain. 7.Give a brief description of each of the following documentation techniques: document flowchart, systems flowchart, and program flowchart. 8.Give an example of how cardinality relates to business policy? 9.For what purpose are ER diagrams used? 10.What is an entity? 11.Is a.

Homework Answers
6 Views

11.Where does the responsibility lie for reconciling the labor distribution summary and the payroll disbursement voucher? a.cash disbursements b.cost accounting c.personnel d.general ledger 12.Which of the following statements is not true? a.Routine payroll processing begins with the submission of time cards. b.Payroll clerks must verify the hours reported on the time cards. c.Payroll reconciles personnel action forms with.

Homework Answers
10 Views

MULTIPLE CHOICE 1.The revenue cycle consists of a.one subsystem–order entry b.two subsystems–sales order processing and cash receipts c.two subsystems–order entry and inventory control d.three subsystems–sales order processing, credit authorization, and cash receipts 2.The reconciliation that occurs in the shipping department is intended to ensure that a.credit has been approved b.the customer is billed for the exact quantity shipped c.the.

Homework Answers
9 Views

21.Internal controls for handling sales returns and allowances do not include a.computing bad debt expense using the percentage of credit sales b.verifying that the goods have been returned c.authorizing the credit memo by management d.using the original sales invoice to prepare the sales returns slip 22.The printer ran out of preprinted sales invoice forms and.

Homework Answers
12 Views

13.How may batch processing be used to improve operational efficiency? 14.If an organization processes large numbers of transactions that use common data records, what type of system would work best (all else being equal)? 15.Why might an auditor use a program flowchart? 16.How are computer system flowcharts and program flowcharts related? 17.What are the.

Homework Answers
73 Views

36.Business ethics involves a.how managers decide on what is right in conducting business b.how managers achieve what they decide is right for the business c.both a and b d.none of the above 37.All of the following are conditions for fraud except a.false representation b.injury or loss c.intent d.material reliance 38.The four principal types of fraud include all of the following.

Homework Answers
9 Views

11.A three way match involves a purchase order, a purchase requisition, and an invoice. 12.Authorization for a cash disbursement occurs in the cash disbursement department upon receipt of the supplier’s invoice. 13.An automated cash disbursements system can yield better cash management since payments are made on time. 14.Permitting warehouse staff to maintain the.

Homework Answers
13 Views

31.Firms can expect that proper use of a valid vendor file will result in all of the following benefits except a.purchasing agents will be discouraged from improperly ordering inventory from related parties b.purchases from fictitious vendors will be detected c.the most competitive price will be obtained d.the risk of purchasing agents receiving kickbacks and.

Homework Answers
9 Views

5.Before authorizing payment for goods purchased, accounts payable reconciles three documents related to the purchase. Name them and explain what each indicates. What control area of SAS 78 is being addressed? 6.What are the steps taken in the cash disbursement system? 7.How does the procedure for determining inventory requirements differ between a.

Homework Answers
10 Views

12.Not permitting the computer programmer to enter the computer room is an example of _______________________________. 13.Sequentially numbering all sales invoices is an example of __________________________. 14.What are the five conditions necessary for an act to be considered fraudulent? 15.What is the objective of SAS 99? 16.Distinguish between exposure and risk. 17.Explain the characteristics of management.

Homework Answers
15 Views

11.Since all fraud involves some form of financial misstatement, how is Fraudulent Statement fraud different? 12.Explain the problems associated with lack of auditor independence. 13.Explain the problems associated with lack of director independence 14.Explain the problems associated with Questionable Executive Compensation Schemes 15.Explain the problems associated with inappropriate accounting practices. 16.Explain the purpose of the.

Homework Answers
11 Views

MULTIPLE CHOICE 1.The document that captures the total amount of time that individual workers spend on each production job is called a a.time card b.job ticket c.personnel action form d.labor distribution form 2.An important reconciliation in the payroll system is a.general ledger compares the labor distribution summary from cost accounting to the disbursement voucher from accounts payable b.personnel.

Homework Answers
10 Views

9.Supervision is extremely important in the receiving department. Two main reasons were given. What were they? Why are these important? 10.Why do companies devote resources to a purchasing department? Could not individual departments make their own purchases more efficiently? 11.What are the key authorization issues in purchasing and cash disbursements? 12.What are the.

Homework Answers
13 Views

26.The decision to extend credit beyond the normal credit limit is an example of a.independent verification b.authorization c.segregation of functions d.supervision 27.When duties cannot be segregated, the most important internal control procedure is a.supervision b.independent verification c.access controls d.accounting records 28.An accounting system that maintains an adequate audit trail is implementing which internal control procedure? a.access controls b.segregation of functions c.independent verification d.accounting records 29.Employee.

Homework Answers
52 Views

ESSAY 1.Differentiate between a purchase requisition and a purchase order. 2.What general ledger journal entries are triggered by the purchases system? From which departments do these journal entries arise? 3.The Soap Manufacturing Company has three employees who work in the warehouse. All of the warehouse workers are authorized to order inventory when it.

Homework Answers
18 Views

31.Depreciation a.assures that assets are reported at fair market value b.is discretionary for many firms c.allocates the cost of an asset over its useful life d.is the responsibility of the department using the asset 32.The Fixed Asset System is similar to the expenditure cycle except a.fixed asset transactions are non-routine and require special authorization and controls b.fixed.

Homework Answers
8 Views

4.What are the five internal control components described in the SAS 78 / COSO framework 5.What are management responsibilities under section 302 and 404? 6.Identify to indicate whether each procedure is a preventive or detective control. a.authorizing a credit salePreventiveDetective b.preparing a bank reconciliationPreventiveDetective c.locking the warehousePreventiveDetective d.preparing a trial balancePreventiveDetective e.counting inventoryPreventiveDetective Use the internal control procedures.

Homework Answers
12 Views

TRUE/FALSE 1.Purchasing decisions are authorized by inventory control. 2.The blind copy of the purchase order that goes to the receiving department contains no item descriptions. 3.Firms that wish to improve control over cash disbursements use a voucher system. 4.In a voucher system, the sum of all unpaid vouchers in the voucher register equals the.

Homework Answers
18 Views

Can't find what you're looking for ?

Ask our exprts a study questions, on us.
Get free Homework Help*