Podcast
Questions and Answers
Which of the following is NOT an objective of the expenditure cycle?
Which of the following is NOT an objective of the expenditure cycle?
- To maintain records for decision making
- To provide needed resources to the organization
- To purchase from reliable vendors
- To promote the flow of transactions through the organization (correct)
Which functional area is responsible for the inspection of received goods?
Which functional area is responsible for the inspection of received goods?
- Cash Disbursements
- Accounts Payable
- Purchasing
- Receiving/Inspection (correct)
Which of the following documents provides an audit trail and supports financial reporting?
Which of the following documents provides an audit trail and supports financial reporting?
- Purchase Requisition
- Cash Disbursements
- Accounts Payable (correct)
- Journals
What are the risks associated with purchase and cash disbursement activities?
What are the risks associated with purchase and cash disbursement activities?
What is the goal of the expenditure cycle?
What is the goal of the expenditure cycle?
Which of the following is NOT a task performed during the purchases and cash disbursement processes?
Which of the following is NOT a task performed during the purchases and cash disbursement processes?
Which functional area is responsible for the flow of purchase and cash disbursement transactions through the organization?
Which functional area is responsible for the flow of purchase and cash disbursement transactions through the organization?
Which of the following provides an audit trail, promotes record maintenance, and supports decision making and financial reporting?
Which of the following provides an audit trail, promotes record maintenance, and supports decision making and financial reporting?
What are the risks associated with purchase and cash disbursements activities?
What are the risks associated with purchase and cash disbursements activities?
What are the control implications of technology used in purchases and cash disbursement systems?
What are the control implications of technology used in purchases and cash disbursement systems?
