Grace Wielgus operates a small grocery store and has established the following policies for checkout cashiers:
a. Each cashier has his or her own cash drawer, to which no one else has access.
b. Cashiers may accept checks for purchases under $50 with proper identification. For checks over $50, they must receive approval from Wielgus.
c. Every sale must be rung up on the cash register and a receipt given to the customer. Each sale is recorded on a tape inside the cash register.
d. At the end of each day, Wielgus counts the cash in the drawer and compares it with the amount on the tape inside the cash register.
Match the following conditions for internal control to each of the policies listed above:
1. Transactions are executed in accordance with management’s general or specific authorization.
2. Transactions are recorded as necessary to permit preparation of financial statements and maintain accountability for assets.
3. Access to assets is permitted only as allowed by management.
4. At reasonable intervals, the records of assets are compared with the existing assets.

  • CreatedSeptember 10, 2014
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