A daily cash count of register receipts made by a cashier department supervisor demonstrates an application of which of the following internal control principles?
a. Documentation procedures.
b. Segregation of duties.
c. Establishment of responsibility.
d. Independent internal verification.
Answer: d. Independent internal verification.
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Indicate whether the statement is true or false
Quinn promises to sell his recreational vehicle (RV) to Sid, who builds a structure behind his house in which to keep it. Quinn's later attempt to renege on the promise is
A. effective if Quinn did not ask Sid to build anything. B. effective if Quinn wants to sell the RV to someone else. C. not effective if Sid cannot obtain a similar RV for a similar price. D. not effective if Sid detrimentally relied on Quinn's promise.