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Identify the internal control weakness in the given situations. State how the person can hurt the company. a . Mandy Morrison works as a security
Identify the internal control weakness in the given situations. State how the person can hurt the company.
a Mandy Morrison works as a security guard at POST parking in Oklahoma City. Morrison has a master key to the cash box where customers pay for parking. Each night Morrison prepares the cash report that shows a the number of cars that parked on the lot and b the days cash receipts. Judy Gibson, the POST treasurer, checks Morrisons figures by multiplying the number of cars by the parking fee per car. Gibson then deposits the cash in the bank.
b Sophie Peterson is the purchasing agent for Pinkerton Sports Equipment. Peterson prepares purchase orders based on requests from division managers of the company. Peterson faxes the purchase order to suppliers, who then ship the goods to Pinkerton. Peterson receives each incoming shipment and checks it for agreement with the purchase order and the related invoice. She then routes the goods tothe respective division managers and sends the receiving report and the invoice to theaccounting department for payment.
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