13. Which statement is correct concerning the voucher system? a. A voucher is a check prepared for each cash payment. b. Companies do require vouchers for disbursements from petty cash. C. The system begins with the authorization to incur a cost or expense, and ends with the issuance of a check d. A voucher system can be done manually but not electronically. 14. From an internal control standpoint, the asset most susceptible to improper diversion and use is a prepaid insurance. b. cash c. buildings d land 15. Postage stamps on hand are considered to be a cash. b. petty cash C. cash equivalents. d. a prepaid expense. 16. Which one of the following items would not be considered cash? a Coins b. Money orders C. Currency d. All of these choices are considered cash. 17. Checks received through the mail should a immediately be endorsed "For Deposit Only." b. be sent to the accounts receivable subsidiary ledger clerk for immediate posting to the customer's account. C. be cashed at the bank as soon as possible. d be "rung up on a cash register immediately A company stamps checks received in the mail with the words "For Deposit Only". This endorsement is called a(n) a blank endorsement b. rubber stamp C. restrictive endorsement d. operational endorsement 18. 19. Blank checks a should be safeguarded b. should be pre-signed C. do not need to be safeguarded since they must be signed to be valid. d. should not be prenumbered. A voucher system is a series of prescribed control procedures a to check the credit worthiness of customers b. designed to assure that disbursements by check are proper. c. which eliminates the need for a sales journal id specifically designed for small firms who may not have checking accounts 20