QUESTION 22

Mr Sibusiso Bengu informs you that in the past few years, the company experienced numerous challenges with Standard Bank and that the bank’s poor services are negatively impacting the operations of Dalton Ltd. He requests that you, as the company treasurer, give him the authority to open a new bank account with ABSA Bank for the Roodepoort branch.

Which of the following statements do you agree with?

a.    Mr Bengu has 10 years’ experience; he established a good relationship with banks previously, and he knows precisely what he is doing. Yes, you authorise him to open a new bank account.

b.    No, you do not authorise him to open the new bank account with ABSA.

C.         You authorise him to open the bank account with Nedbank because it offers a lower interest rate

d.         You refer him to the board of directors.