Merchandise sold on credit was returned for credit and recorded with a debit to Sales Returns and Allowances and a credit to Accounts Payable. This error will cause: OA. the accounts payable to be understated. B. the net income for the period to be overstated. OC. the net income for the period to be understated. D. the assets to be overstated. Company policy for internal control should include all of the following except: OA. At time of payment, all supporting invoices or documents will be stamped "paid." OB. Employees will be rotated twice a year. C. Monthly bank statements should be sent to and reconciled by the same employees who authorize payments and write checks. OD. The owner (or responsible employee) signs all checks after receiving authorization to pay from the departments concerned. If the employee has $700 withheld from their check for FICA OASDI, what is the amount that the employer would need to pay? A. $510 B. $190 O c. $0 OD. $700 The look back period is used to determine whether: OA. an employer will use Form 940. OB. an employer must pay back taxes. C. a business should make its Form 941 tax deposits on a monthly or semiweekly basis. O D. an employer has sent the W-2s to their employees on timely basis. A debit memorandum decreases which account on the buyer's books? OA. Sales Discount OB. Sales Returns and Allowances OC. Merchandise Inventory OD. Accounts Receivable