Answered: What is the purpose of the following…

What is the purpose of the following control procedures (i.e., what threats is it designed to mitigate)? c. Direct deposit of paychecks.

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter2: The Basics Of Record Keeping And Financial Statement Preparation: Balance Sheet

Section: Chapter Questions

Problem 5Q

See similar textbooks

Related questions

Q: 13 ________ is related to the impact of adverse information about bank* A. Operational risk…

A: Risks of banks: Credit risk, market risk, and operational risk are the three main risks that banks…

Q: Explain

A: The "Anti-Money Laundering Council" (AMLC) is the government entity entrusted with implementing the…

Q: In what manner can cash receipts and cash disbursements be controlled?

A: Budget: A budget is an estimation to determine the income that will be earned and expenses that will…

Q: Which of the following assertions is least likely tested by bank balance confirmation? * Existence…

A: Assertions: Management's claims that the financial statements provided are correct are referred to…

Q: What are the steps in approach to internal control over cash receipts that utilizes separation of…

A: Cash receipts are the payment that customer receives from the sales made. The Lock-box system is…

Q: Which of the following is true? a. The cash disbursement function is part of accounts payable. b.…

A: Cash Disbursement System: The cash disbursement system carries out the responsibility of processing…

Q: Activities related to procurement and disbursements are part of the financial control process. a.…

A: Procurements involve the process of acquiring goods for sale or manufacture. Disbursements involve…

Q: Both are estimated liabilities, but customer loyalty programs are different from warranties because…

A: As per IFRS 115 "Revenue from contracts wih customer" Customer loyalty programs includes the…

Q: What does it mean for CHS to securitize its receivables?

A: Compensating balance: A compensating balance is a minimum amount of cash that must be maintained by…

Q: What is issue of payments deficits

A: Introduction:- payment of deficit means:- Country imports more goods, services, and capital than…

Q: What are the risk-adjusted on-balance-sheet assets of the bank as defined under the Basle Accord?

A: The answer is stated below:

Q: What are the different risks associated in the accounting of cash

A: The element of risk arises in each and every area and how well we can minimise or reduce the risk is…

Q: How do you think the misstatement of funds will impact the income statement and balance sheet?

A: Income statement is a statement which shows all income and expenses of the business with calculation…

Q: How does cash control deficiencies affect the development of audit procedures for cash?

A: Auditor: An auditor is a person or a group of people who is responsible for conducting an audit of…

Q: how do deposit intistitutions differ from non-deposit institutions?

A: A financial institution is an intermediary business entity that helps to supply money from surplus…

Q: what types are frauds are possible in revenue cycle?

A: Introduction: The revenue cycle is a method of defining and maintaining the processes used for the…

Q: What is serious regulatory lapses in the system as difficulties in the financial system?

A: Financial system is the system where all the players are involved and exchange funds & money…

Q: What is the importance of cash discounts to the client and howcan the auditor verify whether they…

A: The company needs to take measures that increase the profit of the product. Cash discount is one of…

Q: The financial system serves as the main venue to invest excess funds by savers. This is made through…

A: Answer: True

Q: How is internal control applied to liabilities?

A: It is often seen that frauds, employees thefts, and manipulation of records incur in the…

Q: What are the Important elements of a cash disbursement control system?

A: Internal control: Internal control is a process which ensures continuous reliability of…

Q: ansactions between supp

A: Introduction : Financial markets can be defined as the marketplaces where fund providers as well as…

Q: dering

A: The process of laundering money in most cases involves three steps: placement, layering, and…

Q: What is a major objective of financial reporting? Group of answer choices To provide information…

A: A financial report presents all those necessary information to not only its shareholders but also it…

Q: what is MORATORIUM” IN BANKING? explain. no plagiarism

A: A moratorium helps the borrower by providing time to arrange the finance to make the loan payments.…

Q: Why are payments received from customers in advance, for either services to be performed and/or for…

A: Advance payment received from the customer there are two reasons which are mentioned are as follows:…

Q: How are refundable deposits and customer advances similar? How do they differ?

A: Refundable Deposits: Refundable deposits are that money in advance offered by the customer. It is a…

Q: The portion of an entity’s cash account that is held as a compensating balance must be aggregated…

A: A compensating balance refers to the minimum portion of an entity’s cash account that a borrower…

Q: check and who are the parties involved in the issuance of a check

A: Check is a negotiable instrument usually used in transactions involving bank.

Q: Due to the increased need for security for the performance of obligations arising from these…

A: The main function of financial institutions is to transfer capital from savers (having idle funds)…

Q: What is the possible result of carelessness in credit and collection policies?

A: IMPORTANCE CREDIT AND COLLECTION POLICIES - ** every company makes credit sales. ** it is…

Q: What are the key factors that can lead to an under/overstatement of the cash balance

A: Cash balance is the balance appearing in the Cash edger or Cash Books after all income and…

Q: What are some errors and frauds that can occur in the revenue cycle

A: Introduction:- The revenue cycle is used to completion of an accounting process for recording…

Q: function of the reserve requirement is to promote stability in depository institutions true or…

A: Reserve requirement is used by Central Bank in order to set the minimum amount that commercial bank…

Q: Where in the cash receipts process does supervision play an important role?

Q: primary difference between fraud and error in financial reporting

Question

What is the purpose of the following control procedures (i.e., what threats is it designed to mitigate)?

c. Direct deposit of paychecks.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

What are the steps taken to ensure control over purchases and payments by check?
in managing accounts receivables, objectives must be achieved?
What are the main definitions of credit facilitation, billing and invoicing, remittance processing, collections management, dispute resolution, and reporting and analysis?
is a practice of transfering the ownership of a negotiable instrument such as a check by a payee to another. a. discounting b. bartering c. endorsing O d. signing
What is a check and who are the parties involved in the issuance of a check? Discuss the role of each party
Which of the following assets require the strongest of internal controls? A. inventory B. credit cards C. computer equipment D. cash
What is the purpose of the bank reconciliation?
Which of the following assets require the strongest of internal controls?A. inventoryB. credit cardsC. computer equipmentD. cash