Hi.

Explain.

21. The major risk exposures associated with the receiving department include all of the following except

a.

goods are accepted without a physical count

b.

there is no inspection for goods damaged in shipment

c.

inventories are not secured on the receiving dock

d.

the audit trail is destroyed

22.When searching for unrecorded liabilities at the end of an accounting period, the accountant would search all of the files except

a.

the purchase requisition file

b.

the cash receipts file

c.

the purchase order file

d.

the receiving report file

23.In regards to the accounts payable department, which statement is not true?

a.

the purchase requisition shows that the transaction was authorized

b.

the purchase order proves that the purchase was required

c.

the receiving report provides evidence of the physical receipt of the goods

d.

the supplier's invoice indicates the financial value of the transaction

24.In a computerized system that uses an economic order quantity (EOQ) model and the perpetual inventory method, who determines when to reorder inventory?

a.

the inventory control clerk

b.

the purchasing department

c.

the vendor

d.

the computer system

25.In a real-time processing system with a high number of transactions, the best and most practical control over cash disbursements is to have

a.

all checks manually signed by the treasurer

b.

all checks signed by check-signing equipment

c.

checks over a certain dollar amount manually signed by the treasurer

d.

checks over a certain dollar amount manually signed by the cash disbursements clerk

26.If a company uses a standard cost system, inventory records can be updated from the

a.

vendor invoice

b.

purchase order

c.

receiving report

d.

purchase requisition

27.If a company uses an actual cost system, inventory records can first be updated from the

a.

vendor invoice

b.

purchase order

c.

receiving report

d.

purchase requisition

28.Copies of a purchase order are sent to all of the following except

a.

inventory control

b.

receiving

c.

general ledger

d.

accounts payable

29.A supplier invoice

a.

is included with the goods

b.

shows what was ordered even if all was not shipped

c.

is sent by vendor to accounts payable

d.

none of the above

30.The document that captures the total amount of time that individual workers spend on each production job is called a

a.

time card

b.

job ticket

c.

personnel action form

d.

labor distribution form

-it