8. A well-designed system of internal controls will eliminate employee theft and fraud in a company.

True False

9. Internal controls that assess degree of compliance with company policies are classified as accounting controls.

True False

10. Separation of duties in an organization should be required to reduce the likelihood of theft.

True False

11. Requiring separation of duties in a business allows the work of one employee to serve as a check on the work of other employees.

True False

12. Even a good system of internal controls can be overridden by collusion among employees.

True False

13. Before a business check is signed, the check signer should examine appropriate supporting documents.

True False

14. The net realizable value of accounts receivable is the amount of receivables a company expects to collect.

True False

15. The best estimate for the amount of cash a company expects to collect from its accounts receivable is the face value of the receivables.

True False

16. Most companies report receivables on their balance sheets at the net realizable value.

True False

17. The face value of Accounts Receivable less the balance in the Allowance for Doubtful Accounts is equal to the net realizable value of the receivables.

True False