Questions 2 Evaluate the following statements. Do you agree with the statements? Support your evaluation with reference to relevant accounting concepts, principle, procedure and where appropriate an example.

a Internal controls lead to barriers in smooth workflow of an organisation.

b Sole proprietorship is the best form of organisation.

c A business with high cash balance must be profitable

d Journal and ledger duplicate each other and serve as a substitute of each other. 3 50 e Closing entries are a substitute for adjusting entries.