Question

Within cash disbursements, all of the following should be true before a check is prepared, except that:

A. The purchase order, receiving report, and invoice have been matched.
B. The purchased goods have been used.
C. Sufficient cash is available.
D. The invoice discount date or due date is imminent.

Answer 1

In the process of cash disbursements, all of the following should be true before a check is prepared, except that the purchased goods have been used.

Step-by-step explanation:

In the process of preparing a check for cash disbursements, all of the following should be true, except that the purchased goods have been used. The other conditions that need to be met before a check is prepared include:

• The purchase order, receiving report, and invoice have been matched.
• Sufficient cash is available.
• The invoice discount date or due date is imminent.

These conditions ensure that the necessary documentation and funds are in place before a check is issued.