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Importance of Branch Account - SS3 Accounting Past Questions and Answers - page 1

1
What is the importance of a branch account?
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A
Maintaining control over branch operations
B
Filing for bankruptcy
C
Increasing taxes
2
What information is contained in a branch account?
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A
Financial transactions of a company's headquarters
B
Financial transactions of a company's subsidiaries
C
Financial transactions of a company's suppliers
3
Why is a branch account necessary for tax compliance purposes?
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A
It helps to ensure that the branch is complying with local tax laws and regulations
B
It helps to increase the branch's revenue
C
It helps to reduce the branch's expenses
4
What does a branch account promote?
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A
Accountability
B

Financial irregularities

 

C
Fraud
5
What does a branch account allow for?
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A
Evaluation of the branch's performance
B
Increased expenses for the branch
C
Decreased revenue for the branch
6
What is the purpose of a branch account?
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7
Name two benefits of a branch account.
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