Match the check-writing policies for a small business described below to these control activities: 1. The person
Question:
Match the check-writing policies for a small business described below to these control activities:
1. The person who writes the checks to pay bills is different from the persons who authorize the payments and who keep the records of the payments.
2. The checks are kept in a locked drawer. The only person who has the key is the per- son who writes the checks.
3. The person who writes the checks is bonded.
4. Once each month the owner compares and reconciles the amount of money shown in the accounting records with the amount in the bank account.
5. Each check is approved by the owner of the business before it is mailed.
6. A check stub recording pertinent information is completed for each check.
7. Every day, all checks are recorded in the accounting records, using the information on the check stubs. SE-8
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