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is a nonpublic audit client. Lesley Carpenter, the staff auditor for the BuffCo audit engagement, has prepared a list of what she believes may be

is a nonpublic audit client. Lesley Carpenter, the staff auditor for the BuffCo audit engagement, has prepared a list of what she believes may be internal control weaknesses over cash transactions. Indicate whether each item on her list is an internal control weakness or not.

- A. B.

All cash receipts received through the mail are restrictively endorsed when received.

- A. B.

The authorized check signers reconcile bank accounts.

- A. B.

All cash receipts (checks) received through the mail are prelisted by the two individuals who open the mail.

- A. B.

The purchasing department manager and assistant manager are the authorized check signers.

- A. B.

When a disbursement is made based on paper supporting documents, those supporting documents are canceled by the individual who signs the check.

A.

Internal control weakness

B.

Not an internal control weakness

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