This part consists of matching internal controls. There are 15 client internal control procedures and 15 auditor tests of internal controls. Each procedure is matched to only one test of controls.
The computer system records sales prices on sales invoices from a A. Select a sample of cash receipts from the cash receipts journal and vouch the totals to the daily remittance list. master sales price list in the computer system. This master list is updated in the computer system monthly. B. Access the duplicate checks file. Select several blocks of check numbers and account for the numerical sequence The cashier opens customer receipts received in the mail and prepares a daily remittance list. The cashier then prepares the deposit slip and takes C. Select a sample of cash disbursements and examine the supporting voucher the deposit to the bank on a daily basis package for the stamp "paid Receiving personnel are instructed to record the actual date goods are D. On a surprise visit, observe the counting of petty cash by two independent ceived on the receiving reports employees. Daily, two independent employees count and reconcile the petty cash E. Select a sample of fixed asset purchases exceeding $5,000 and examine the held by the front desk secretary for minor expenditures purchase agreement for proper authorization Material requisition forms are pre-numbered and the sequence is F. Select a sample of sales invoices and compare the prices of goods sold to accounted for on a monthly basis the master price list in effect when the sale was recorded A terminated employee notice form is completed by the employee's G. Obtain the year-end bank reconciliation and trace the bank balance to the department manager and forwarded to the payroll accountant in the payroll department. The payroll accountant updates the payroll master bank confirmation, outstanding checks and deposits in transit to the cutoff file tatement received from the bank, and trace all adjustments to supporting documentation. After vouchers are approved for payment and the checks are properly signed, the voucher package documents are stamped "paid" and sent to H. Select a sample of employees from the payroll master file and verify the AP department for filing employment status. v On a daily basis, the accounts receivable accountant records the cash Select a sample of remittance advices and trace the dates, customer name receipts in the cash receipts journal and customer accounts from the daily and amounts to the daily remittance list. race the total of the dail remittance list received from the cashier remittance list to the daily deposit slip total The general accountant prepares a bank reconciliation monthly, using the J Select several blocks of material requisition forms and scan for missing monthly bank statement, deposit slip copies, and cash disbursements documents. ourna K. For 4 months, review the journal entry recorded by the AP manager to Blank checks are stored in a safe. Only the Controller and AVP Manager record the results of the search for unrecorded liabilities have access to the safe L. Ask to see the safe where blank checks are stored and verify that only Weekly the cost accountant reconciles the labor hours recorded on authorized personnel can access the safe production sheets with payroll labor reports for accuracy of hours M. For 10 weeks, obtain the cost production sheets and the payroll labor reports v Vendor accounts are paid twice a month using pre-numbered checks and verify the hours agree The accounts payable accountant files the duplicate copies in check N. Select a sample of receiving reports and compare the dates on the receiving number order. reports with the dates in the purchase journal The credit department approves all sales orders on credit prior to completing the order. The approval is evidenced on the sales order with o. Select a sample of credit sales orders and verify credit approva initials of the approving credit manager
