Proper internal control means that responsibility for a task is clearly established and assigned to one person. TrueTechnology such as cash registers, check protectors, time clocks and personal identification scanners can improve internal controlTrueGood internal control dictates that a person who controls anasset also maintains that asset's accounting recordsFalseSeparation of duties divides responsibility for a transaction or a series of related transactions between two or more individuals or departments. Separation of duties reduces therisk of error or fraudTrueThe payee is the person who signs a check, authorizing its paymentFalseA voucher system is a set of procedures and approvals designed to control cash disbursements and the acceptance of obligationsTrueIf the Cash Over and Sort account has a debit balance at theend of the period, the amount is reported as miscellaneous revenueFalseThe petty cash fund should be reimbursed when it is nearing zero and at the end of the accounting period when financial statements are preparedTrueThe entry necessary to establish a petty cash fund should include:Debit to Petty Cash and Credit to CashWhen a petty cash fund is in use: Expenses paid with petty cash are recorded when the fund is replenishedAccounts receivable occur from credit sales to customers TrueThe formula for computing interest on a note is the principal of the note X the annual interest rate X time expressed in fraction of a yearTrueThe aging method of determining bad debts expense is based on the knowledge that the longer a receivable is past true, the lower the likelihood of collectionTrueNotes receivables are always classified as current liabilities FalseThe matching principal requires that accrued interest on outstanding notes receivables be recorded at the end of each accounting periodTruePlant assets refer to intangible assets that are used in the operations of a businessFalseDepreciation measures the actual decline in market value ofan assetFalseInadequacy refers to the insufficient capacity of a company's plant assets to meet the company's growing productive demandsTrue Depreciation expense is calculated using the estimates of an asset's salvage value and useful life