1All of the following statements are false, except:
In a post-billing system, invoices are prepared upon acceptanceof the customer order.
In the Order Entry and Sales process, customer credit check is acontrol plan that ensures that the organization protects itsresources by dealing only with customers who have demonstrated anability to satisfy their liabilities.
None of these answers are correct.
In the Order Entry and Sales process, one-for-one checking is acontrol plan that simplifies the data entry process, and mayprevent the customer service representative from omitting data, tofill in certain fields, and reject incorrectly formatted fields toreduce input errors.
The accounts receivable master data is created as sales returns,bad debt write-offs, estimated doubtful accounts, or similaradjustments are processed.
Question 2 of 12
Which of the following statements is false?
An overall management objective is to minimize the time from thebeginning of the selling process to the end of the cash collectionprocess.
A form of fraud in which the payments made by one customer aresystematically applied to the account of another is calledlapping.
The technology that allows information on documents to beconverted into machine-readable data through a scanner is calledOCR.
None of these answers are correct.
The cash receipts process can be accelerated by using the ACHnetwork because it is a batch process.
Question 3 of 12
Which of the following statements is false?
The check and remittance advice trigger the receive paymentprocess.
From the standpoint of reducing the collector's float, acustomer check is a better payment method than a debit card.
Good funds are funds on deposit and available for use.
None of these answers are correct.
A bank lockbox provides more protection for cash than a systemwhere cash receipts are mailed to the payee company and thendeposited.
Question 4 of 12
Which of the following statements is true?
In a pre-billing system, invoices are prepared after the goodshave been shipped and the sales order notification has been matchedto the shipping's billing notification.
Of the two types of billing systems discussed in the text, thepre-billing system is appropriate in situations where there is asignificant delay between acceptance of the customer's order andthe subsequent shipment.
In a post-billing system, invoices are prepared upon acceptanceof the customer order.
None of these answers are correct.
Of the two types of billing systems discussed in the text, thepre-billing system requires the more accurate inventoryrecords.
Question 5 of 12
All of the following are part of the horizontal informationflows of the B/AR/CR process except:
Accounts receivable aging report
Customer payment
Customer invoice
None of these answers are correct
Bank deposit
1All of the following statements are false, except:
In a post-billing system, invoices are prepared upon acceptanceof the customer order.
In the Order Entry and Sales process, customer credit check is acontrol plan that ensures that the organization protects itsresources by dealing only with customers who have demonstrated anability to satisfy their liabilities.
None of these answers are correct.
In the Order Entry and Sales process, one-for-one checking is acontrol plan that simplifies the data entry process, and mayprevent the customer service representative from omitting data, tofill in certain fields, and reject incorrectly formatted fields toreduce input errors.
The accounts receivable master data is created as sales returns,bad debt write-offs, estimated doubtful accounts, or similaradjustments are processed.
Question 2 of 12
Which of the following statements is false?
An overall management objective is to minimize the time from thebeginning of the selling process to the end of the cash collectionprocess.
A form of fraud in which the payments made by one customer aresystematically applied to the account of another is calledlapping.
The technology that allows information on documents to beconverted into machine-readable data through a scanner is calledOCR.
None of these answers are correct.
The cash receipts process can be accelerated by using the ACHnetwork because it is a batch process.
Question 3 of 12
Which of the following statements is false?
The check and remittance advice trigger the receive paymentprocess.
From the standpoint of reducing the collector's float, acustomer check is a better payment method than a debit card.
Good funds are funds on deposit and available for use.
None of these answers are correct.
A bank lockbox provides more protection for cash than a systemwhere cash receipts are mailed to the payee company and thendeposited.
Question 4 of 12
Which of the following statements is true?
In a pre-billing system, invoices are prepared after the goodshave been shipped and the sales order notification has been matchedto the shipping's billing notification.
Of the two types of billing systems discussed in the text, thepre-billing system is appropriate in situations where there is asignificant delay between acceptance of the customer's order andthe subsequent shipment.
In a post-billing system, invoices are prepared upon acceptanceof the customer order.
None of these answers are correct.
Of the two types of billing systems discussed in the text, thepre-billing system requires the more accurate inventoryrecords.
Question 5 of 12
All of the following are part of the horizontal informationflows of the B/AR/CR process except:
Accounts receivable aging report
Customer payment
Customer invoice
None of these answers are correct
Bank deposit
