AP Challenge!
		Welcome to the AP Challenge! Test your accounts payable acumen. But be warned, what was once a matter of "paying the bills" has long since become a complex, demanding operation. When you reach the end, click the submit button, then enter your email address. You will receive a validation email--click on the link in that email and your Challenge will be sent for scoring. Good luck!   1. The biggest bottleneck in a manual, paper-invoice-based accounts payable process is the area between the check printing cycle and check release  purchase order issuance and receipt of copy in AP  receipt of invoice and entry into system  nightly production cycle and data on desktop      2. In most cases a blanket purchase order should have a dollar or periodic limit  a commodity classification  an accounting classification  a senior manager's approval      3. Which of the following is a reasonable policy regarding rush or exception check processing? All exception requests should be honored  Process only requests that cannot be handled in any other format  Process only requests made by purchasing  No rush checks should ever be written      4. Individual purchases detailed on an invoice are commonly referred to as requisitions  sub-items  line items  units      5. Which of the following will help minimize errors in accounts payable? I. Cross training so staffers can fill in for others who are absent II. Benchmarking to identify weak spot III. Reducing the amount of manual data entry I only  III only  I & II only  I, II & III      6. The practice of reordering and writing checks on closed accounts is known as paperhanging  check kiting  quick checks  closed-end checks      7. When a company is looking to preserve cash, the most frequently used and potentially damaging strategy the company can employ is to place smaller orders  talk to vendor  stretch payment date  stop paying bills      8. Responsibility for maintaining the vendor master file generally resides with purchasing  accounts payable  customer service  internal auditing      9. A company’s best defense against check fraud is the Uniform Commercial Code  positive pay  banking controls  warning bands on checks      10. A company’s schedule for record destruction should be developed with the assistance of which of the following departments? Legal  Purchasing  Human Resources  Information Technology      11. Imaging is increasingly feasible for organizations of all sizes because of the growth of intranets  desktop computing  the prevalence of server farms  software cost reductions      12. In a biller-centric Electronic Invoice Presentment and Payment model the application is controlled by the customer only  vendor only  federal government  application developer      13. EDI is an acronym for Electronic Distribution, Inc.  Electric Data Integration  Elementary Data Instructions  Electronic Data Interchange      14. Which of the following statements about digital signatures is true? They can be used for non-repudiation  They are used to authenticate the receiver  They cannot be used with asymmetric encryption  They apply only to hash algorithms      15. Which of the following is necessary to prepare a 1099? A W-2 for all reportable vendors  A TIN for all reportable vendors  A W-4 for all reportable vendors  An IEN for all reportable vendors      16. Exempted from sales or use taxes are raw materials for processing into inventory  finished products for the benefit of employees  raw materials ultimately consumed by the manufacturer  tangible property not processed into inventory      17. The consumer's use tax is paid as an individual uses property  reported and remitted by the consuming business  reported and remitted by the seller  not audited      18. Travel and entertainment (T&E) expenses need to be reported by the 15th of every month  in the same reporting period as incurred  in the reporting period after they are incurred  at least once per quarter      19. A written travel and entertainment (T&E) policy is not necessary as long as there is business unit management support  vital to T&E control and consistent T&E reporting and reimbursement processing  important to be sure that employees in different departments are treated differently  usually found in automated T&E processing software packages      20. The IRS published maximum deduction allowed for business related gifts is $25  $50  $75  $100      21. The major advance that made interactive voice response (IVR) systems practical was the development of touch-tone technology  database management  speaker-independent capability  network enhancements      22. When all procurement card transactions can be put into a single G/L account, the detail required is level 1 detail  level 2 detail  level 3 detail  level 4 detail      23. Which of the following accounting steps needs to be accomplished to increase an asset? A debit to the asset account  A credit to the asset account  An analysis of the asset  An allocation      24. Organizational boundaries, commonly referred to as silos, exist because of I. historical issues II. organizational structure III. leadership behavior I only  II only  II and III  I, II, and III      25. Service Level Agreements (SLAs) are important to the accounts payable (AP) department because an understanding of policies, procedures and service levels will save time and money on the back end  the AP department will be able to track who is responsible for major issues  the general ledger department needs this information in order to close the books  vendor invoice payment terms are generally not easy to understand       26. Optimally, AP benchmarking should be conducted on a one-time basis  when management directs  on a continual basis  whenever there is a change in AP management      27. Risk and cultural assessment in an ethics program is intended to do which of the following? I. Validate a company's culture II. Identify gaps between a company's current practices and existing laws III. Formulate a general work plan I only  II only  I and II only  I, II, and III      28. The primary reason most accounts payable departments outsource recovery audits is limited in-house technical expertise  the lower cost  the vendor's large pool of resources  management directive      29. Measurements should be a part of an accounts payable department’s forecasting model  compliance system  management system  communications plan      30. A fundamental skill that accounts payable professionals will require for success in the future is adaptability  keying speed  auditory skill  certified accounting ability    * 31. Your name:   * 32. Your phone number:

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