A set of procedures and approvals designed to control cash disbursements and the acceptance of obligations is referred to as a(n):
A) Internal cash system.
B) Petty cash system.
C) Cash disbursement system.
D) Voucher system.
E) Cash control system.

Question

Quizplus · Accepted Answer

A voucher system is a set of procedures and approvals designed to control cash disbursements and the acceptance of obligations. It involves the use of prenumbered vouchers that require approval from multiple parties before payment can be made. This helps to ensure that all disbursements are legitimate and authorized, and reduces the risk of fraud or errors. The other options (A, B, C, E) do not specifically refer to the procedures and approvals involved in a voucher system.

A Set of Procedures and Approvals Designed to Control Cash