20) 20) Which of the following is not a threat to the revenue cycle shipping process? A) wrong shipping address B) inventory theft C) picking the wrong items D) incomplete orders 21) 21) A picking ticket is generated by the A) packing process. C) billing process. B) sales order entry process. D) shipping process. 22) 22) The is a legal contract that defines responsibility for goods that are in transit. A) packing slip B) back order C) picking list D) bill of lading 23) 23) A company needs to raise cash fast to pay off some of its debts. Which of the following would raise cash the fastest? A) Factor its accounts receivable assets. B) Create an electronic lockbox for receiving payments. C) Discontinue use of a lockbox arrangement. D) Implement FEDI. 24) 24) Separating the shipping and billing functions is designed to reduce the threat of A) failure to bill customers. B) billing customers before merchandise has been shipped. C) billing customers for wrong quantities. D) shipping the wrong merchandise. 25) 25) In the expenditure cycle, Financial Electronic Data Interchange (FEDI) increases efficiency by A) eliminating the need for purchase orders. B) eliminating the need for vendor invoices. C) eliminating the need for receiving reports. D) eliminating the need to prepare and mail checks. 26) 26) The first major business activity in the expenditure cycle is A) receiving goods from vendors. B) ordering inventory, supplies, or services. C) shipping goods to customers. D) a customer sale. 27) 27) EFT payments are generally performed by A) the treasurer C) a credit manager. B) a cashier. D) an accounts payable clerk. 28) 28) The Gwallter Reece Chihuahua Sweater Co. (GRCC) was established in 2013. It recently signed a large contract with PetCo pet stores. GRCCo will be required to track and forecast sweater sales by linking in to PetCo's sales database. GRCCo will then be responsible for shipping products to PetCo as needed. The relationship between GRCCo and PetCo is an example of A) vendor-managed Inventory. B) optical character recognition. C) electronic data interchange. D) sales force automation. 29) 29) Which of the following controls can minimize the threat of errors in supplier invoices? A) The use of positive pay. B) Do not inform receiving employees about quantity ordered. C) The use of ERS D) Perpetual inventory system