Questions and Answers
2. Which of the following terms means "to possess and have use of property of another with
delegated responsibilities"? (pg. 1-2)(Chapter 1) - ANSWERS-c. Acountability
1. What is the document most organizations use that describes and conveys the process steps
taken to produce a desired result? (pg. 1-2)(Chapter 1) - ANSWERS-a. Procedure
3. What element is crucial to the entire process of the property control system? (pg. 1-7)
(Chapter 1) - ANSWERS-b. Records
4. When are property records modified? (pg. 1-7)(Chapter 1) - ANSWERS-c. Throughout the
property life cycle
5. What does reutilization reduce? (pg. 1-15)(Chapter 1) - ANSWERS-d. Redundant
1. When does the Acquisition begin? (pg. 2-2)(Chapter 2) - ANSWERS-a. Needs have been
defined
2. What is the first step of the approval process when making a purchase? (pg. 2-2)(Chapter 2) -
ANSWERS-c. Obtaining approval to spend budgeted organizational funds
3. When a decision has been made to buy new equipment, considerations should be
decided, such as: immediate availability, extended service warranties, and _________.
(pg. 2-4)(Chapter 2) - ANSWERS-b. Advanced technology
, 4. When a Purchase Order has been completed, Purchasing should provide a copy of the
Purchase Order to property management, the originator, accounts payable, and what other
department? (pg. 2-6)(Chapter 2) - ANSWERS-d. Receiving
5. What establishes delegation of authority for signature approval thresholds and types of
property for those signature levels? (pg. 2-2)(Chapter 2) - ANSWERS-a. Organization procedure
1. In organizations having online financial systems, documentation is created electronically
and is retained in the system's transaction history. It is often used as part of a three-way
match of transactions prior to payment: the PO, the receiving documentation, and the
___________. (pg. 3-2)(Chapter 3) - ANSWERS-a. Invoice
2. A ________________________ provides receiving activity information as well as a way
to trace items that are lost or misappropriated during the receiving process or during
delivery from the receiving area. (pg. 3-2)(Chapter 3) - ANSWERS-d. Receiving voucher log
3. What is a disadvantage of centralized receiving? (pg. 3-3)(Chapter 3) - ANSWERS-d. Slower
turn-around time for deliveries
4. What information is NOT typically recorded in a receiving voucher log? (pg. 3-2)(Chapter 3) -
ANSWERS-c. Purchasing department order date and cost
5. Why is it important that the Receiving department inspect for damage? (pg. 3-5)(Chapter 3) -
ANSWERS-a. Provide information for a potential return of the item to the vendor
1. What is one accomplishment by tagging of new, incoming property? (pg. 4-1)(Chapter 4) -
ANSWERS-b. Establishes the official record for that item