Identify an internal control procedure that would reduce the following risks in a manual system: a. The
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a. The purchasing department may not be notified when goods need to be purchased.
b. Accounts payable may not be updated for items received.
c. Purchase orders may be prepared based on unauthorized requisitions.
d. Receiving clerks may steal purchased goods.
e. Payments may be made for items not received.
f. Amounts paid may be applied to the wrong vendor account.
g. Payments may be made for items previously returned.
h. Receiving clerks may accept delivery of goods in excess of quantities ordered.
i. Duplicate payments may be issued for a single purchase transaction.
Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...
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Related Book For
Accounting Information Systems The Processes and Controls
ISBN: 978-1118162309
2nd edition
Authors: Leslie Turner, Andrea Weickgenannt
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