Question

17.In a good internal control system, which of the following sets of documents is required for proper approval of a payment to a supplier?

A.

a receiving report, an invoice, and a purchase order

B.

a purchase order, a journal entry, and a price catalog

C.

a journal entry, a supplier invoice, and a description of the goods being purchased

D.

a supplier invoice, a bill of lading, and the supplier's financial statements

16.

Morris Company established a petty cash fund with a $200 balance. Which of the following statements is incorrect?

A.

The sum of the cash plus the total of the petty cash tickets should equal $ 200at all times.

B.A journal entry is needed to debit the Cash account and credit the Petty Cash account for $ 200.

C.There is no net effect on current assets.

D.The petty cash custodian cashes a check for$ 200and places the currency in the petty cash fund box.

18.

A general ledger is an accounting journal designed to record one specific type of transaction.

True

False

Answer 1