Answer:
1. Once a month, the sales department sends sales invoices to the accounting department to be recorded.
⇒ documentation procedures
Unless all of the company's sales take place only once a month, sales should be recorded as soon as possible. Accounting records must be as precise and accurate as possible, and they must be processed on time. Stacking invoices makes no sense, since sales might be on cash or the collection period might be very short. Who holds the money until the sales records are made?
2. Leah Hutcherson orders merchandise for Rice Lake Company; she also receives merchandise and authorizes payment for merchandise.
⇒ segregation of duties
One single person cannot be responsible for the whole process, since this creates a huge opportunity for fraud. Imagine if the person in charge of the inventory is also in charge of making new purchases, paying for them and reporting ending inventory. No company would be able survive one year, while the person in charge would get rich.
3. Several clerks at Great Foods use the same cash register drawer
⇒ establishment of responsibility
If everyone is allowed to collect money, no one can be responsible for any loss.
Answer:
When bonds are converted into common stock____.
a. the market price of the stock and the bonds is ignored when recording the conversion.
Explanation:
This is because the conversion price, which is the price at which the convertible bond is converted into the common stock of the entity, is usually set initially when the conversion ratio is first decided on. Therefore, the market prices of the stock and the bonds are not taken into account when the conversion recording is being done.
Answer:
.91 pints of irish beer per pint of Australian beer
Explanation:
As we know that
The exchange rate of
1 AUD = 0.5 pound
Now
In Ireland, 1 beer cost = 2.2 pound
And, in Australia, 1 beer cost = 4 AUD
As 1 AUD = 0.5 pound
so 4 AUD is
= 0.5 × 4
= 2
Now the exchange rate is
= 4 AUD beer cost ÷ 1 beer cost in Ireland
= 2 ÷ 2.2
= 0.91
hence, the real exchange rate is 0.91
Answer: Option C
Explanation: As per the leader- member exchange model, the relationship between the senior and subordinate is based on the honesty and truth and extends beyond the employment relations.
This model is often used by the organisations that gives high importance to the employees and tries to maintain healthy relationships and positive environment within the workplace.
Hence from the above we can conclude that the correct option is C .
