Are the following statements true or false? Small companies…
Are the following statements true or false? Small companies find segregation of duties easier to implement. [1] Independent internal verification is not necessary in an effective system of internal control. [2] A voucher system is a network of approvals by authorized individuals acting independently, to ensure that all disbursements by check are proper. [3] An employee making the bank deposit should also be the person recording journal entries. [4]
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Before completing its monthly bank reconciliation, Wangerin Corp. had a cash balance per books of $50,000. Wangerin’s Bank Statement contained the following items: A debit memorandum for an NSF check of $100 Bank service charges of $30 for the month A credit memorandum for an EFT collection from a customer of $2,000 In addition, Wangerin wrote a check to a supplier in the amount of $25, but the accounting clerk incorrectly recorded the check amount as $52. Deposits in transit were $6,000. What is Wangerin Corp’s adjusted cash balance per the books?
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