🎧 New: AI-Generated Podcasts Turn your study notes into engaging audio conversations. Learn more

Purchases and Cash Disbursement Procedures Quiz
10 Questions
2 Views

Purchases and Cash Disbursement Procedures Quiz

Created by
@WellBacklitOlivine

Podcast Beta

Play an AI-generated podcast conversation about this lesson

Questions and Answers

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?

  • Cash Disbursements
  • Accounts Payable
  • Purchasing
  • Receiving/Inspection (correct)
  • 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?

    <p>Inaccurate financial reporting</p> Signup and view all the answers

    What is the goal of the expenditure cycle?

    <p>To provide needed resources to the organization</p> Signup and view all the answers

    Which of the following is NOT a task performed during the purchases and cash disbursement processes?

    <p>Sales and Marketing</p> Signup and view all the answers

    Which functional area is responsible for the flow of purchase and cash disbursement transactions through the organization?

    <p>Purchasing</p> Signup and view all the answers

    Which of the following provides an audit trail, promotes record maintenance, and supports decision making and financial reporting?

    <p>Accounts Payable</p> Signup and view all the answers

    What are the risks associated with purchase and cash disbursements activities?

    <p>Operational risks</p> Signup and view all the answers

    What are the control implications of technology used in purchases and cash disbursement systems?

    <p>Increased efficiency</p> Signup and view all the answers

    More Quizzes Like This

    Use Quizgecko on...
    Browser
    Browser