Each week, 100 company checks are left in an unmarked envelope on a shelf behind the cash register.		select a weakness Unauthorized employees making purchasesFiling does not prevent a bill from being paid more than onceUse of cash instead of checks; no prenumbered invoicesChecks are not stored in a secure areaThe bank reconciliation is not independently preparedThe approval and payment of bills is done by the same individual		select a principle violated Establishment of responsibilityHuman resource controlsSegregation of dutiesPhysical controlsIndependent internal verificationDocumentation procedures
2.		The store manager personally approves all payments before she signs and issues checks.		select a weakness Filing does not prevent a bill from being paid more than onceUnauthorized employees making purchasesChecks are not stored in a secure areaThe approval and payment of bills is done by the same individualUse of cash instead of checks; no prenumbered invoicesThe bank reconciliation is not independently prepared		select a principle violated Documentation proceduresHuman resource controlsSegregation of dutiesEstablishment of responsibilityIndependent internal verificationPhysical controls
3 (i).		The store purchases used goods for resale from people that bring items to the store. Since that can occur anytime that the store is open, all employees are authorized to purchase goods for resale by disbursing cash from the register.		select a weakness Unauthorized employees making purchasesThe bank reconciliation is not independently preparedUse of cash instead of checks; no prenumbered invoicesFiling does not prevent a bill from being paid more than onceChecks are not stored in a secure areaThe approval and payment of bills is done by the same individual		select a principle violated Establishment of responsibilityDocumentation proceduresSegregation of dutiesHuman resource controlsIndependent internal verificationPhysical controls
3 (ii).		The purchase is documented by having the store employee write on a piece of paper a description of the item that was purchased and the amount that was paid. The employee then signs the paper and puts it in the register.		select a weakness Filing does not prevent a bill from being paid more than onceChecks are not stored in a secure areaUse of cash instead of checks; no prenumbered invoicesUnauthorized employees making purchasesThe bank reconciliation is not independently preparedThe approval and payment of bills is done by the same individual		select a principle violated Segregation of dutiesIndependent internal verificationEstablishment of responsibilityDocumentation proceduresPhysical controlsHuman resource controls
4.		After payment, bills are filed in a paid invoice folder.		select a weakness Use of cash instead of checks; no prenumbered invoicesFiling does not prevent a bill from being paid more than onceUnauthorized employees making purchasesChecks are not stored in a secure areaThe bank reconciliation is not independently preparedThe approval and payment of bills is done by the same individual		select a principle violated Independent internal verificationHuman resource controlsSegregation of dutiesDocumentation proceduresEstablishment of responsibilityPhysical controls
5.		The company accountant who records cash transactions also prepares the bank reconciliation and reports any discrepancies to the owner.