Which of the following is an example of exercising internal control over receivables?
A) separating cash collection and credit approval duties
B) extending credit to all customers who apply for credit
C) combining the duties of the credit and accounting departments
D) allowing credit department employees to collect cash from customers
A
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After closing the temporary owners' equity accounts into Income Summary, and after allocating the net income and closing the partners' drawing accounts, assume the partners' capital accounts had credit balances as follows: Peluso, $20,000; Odin, $30,000; Nazaro, $45,000 . Partners share profits and losses as follows: Peluso, 20%; Odin, 30%; and Nazaro, 50%. If Peluso purchased Nazaro's interest
in the partnership for $40,000 cash, the amount entered in Nazaro's capital account is a a. $5,000 debit. b. $40,000 debit. c. $40,000 credit. d. $45,000 debit.
______refers to the obligation to protect people against any unreasonable harm or risk
a. Negligence b. Professional malpractice c. Reasonable professional standard d. Duty of care