Question 1 0.5 pts Which of the following is not an element of the fraud triangle? Financial pressure Irresponsibility Rationalization All of these are elements of the fraud triangle. O Opportunity Question 6 0.5 pts Which of the following is not a principle of internal control? teamwork between employees O All of these are principles of internal control. Physical controls Segregation of duties O Documentation procedures Question 7 0.5 pts Which one of the following is a physical control? Documentation procedures Alarms to prevent break-ins Bonding employees All of these are physical controls Rotate employees' duties and require employees to take vacations Question 8 0.5 pts A consequence of segregation of duties is that profits decline. operations become extremely inefficient because of constant training of employees. more employees will need to be bonded. theft by employees becomes impossible. theft is still possible when several employees are involved. Question 9 0.5 pts Which of the following is not an effective internal control over cash disbursements? Using pre-numbered checks Requiring personnel who authorize cash disbursements to take vacation Preparing bank reconciliations Bonding employees who handle cash The person signing the checks is the person who records cash disbursements Question 10 0.5 pts For which item below might a bank issue a credit memorandum to a depositor's account? O An NSF check O Deposits in transit O Monthly service charges Outstanding checks O Collection of a note receivable Question 11 0.5 pts A company has the following: Cash balance per books on Dec. 31, $7,400 Bank charge for check printing, $25 Outstanding checks, $2,500 NSF check, $400 Notes receivable and interest collected by bank, $1,140 Deposits in transit, $500 The adjusted cash balance per books on Dec. 31 is O $9,475. O $8,975. O $5,375. $8,115. O $8,675. Question 12 0.5 pts At company has the following bank information: Cash balance per bank, Dec. 31, $11,500 Outstanding checks, $1,375 Deposits in transit, $600 Notes receivable collected by bank, $250 Bank service charge, $50 NSF check, $125 What is the company's adjusted cash balance on Dec. 31? O $12,275. O $10,725 O $10,600. O $9,525. $10,975. Question 13 0.5 pts A company has the following: Cash balance per books, December 31, $89,300. Note receivable of $1,900 plus $200 of interest collected, $2,100. Outstanding checks, $5,100. Deposits in transit, $3,800. Bank service charges, $50. NSF check, $600. The company erroneously recorded a $200 cash payment on its books as a $2,000 cash payment. Also, the bank erroneously added $1,000 to the company's checking account. The bank should have added the money to a different customer's account. How much the adjusted cash per books on December $89,800 $90,150 O $89,950 $92,550 O $83,000 Question 15 0.5 pts A company has the following: Cash balance per bank, $11,460 Cash balance per books, $13,200 Outstanding checks, $2,325 Deposits in transit, $3,750 NSF check, $240 Bank service charge, $75 The net effect of the adjusting entries that the company will journalize as a result of this reconciliation will O increase its cash account by $165. reduce its cash account by $75. O reduce its cash account by $315. O reduce its cash account by $1,425. increase its cash account by $1,500. Question 16 0.5 pts A company's monthly bank statement shows a collection of a note receivable by the bank in the amount of $1,000. Which of the following is one part of the journal entry needed to record the note collection by the company? Debit to Cash for $1,000 Credit to Revenue for $1,000 Debit to Unearned Revenue for $1,000 Debit to Notes Receivable for $1,000 Credit to Accounts Payable for $1,000 Question 18 0.5 pts If a company correctly writes a check for $167 but it incorrectly records it on its books as $176 then the appropriate treatment on the bank reconciliation would be to $176 deducted from the cash balance per bank statement. O $9 added to the cash balance per books. O $9 deducted from the cash balance per books. $9 deducted from the cash balance per bank statement. $9 added to the cash balance per bank statement