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Question On the loose leaf provided, number 1 to 9 to represent Z-Mart's nine activities listed below. Using the letters A to G indicate
Question On the loose leaf provided, number 1 to 9 to represent Z-Mart's nine activities listed below. Using the letters A to G indicate the appropriate internal control principle represented by this activity. Z-Mart Activity: (1) The cashier does not have access to the cash register record tape and file. (2) Each clerk has a separate cash drawer. (3) The bookkeeper prepares monthly financial reports for management to review. (4) Z-Mart uses a computerized point of sale system. (5) Z-Mart hires Nelson and McGuire, CPA, to perform an audit. (6) Z-Mart buys an insurance policy to protect against employee theft. (7) Z-Mart has separate departments for purchasing, receiving, and accounts payable. (8) Z-Mart has an internal auditor on staff. (9) Z-Mart uses a cheque protector. Internal Control Principle: (A) Establish responsibility. (B) Maintain adequate records. (C) Insure assets and bond employees. (D) Separate recordkeeping from custody of assets. (E) Divide responsibility for related transactions. (F) Apply technological controls. (G) Perform regular and independent reviews.
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