U Real www New M Inbc M Inbc Unt M Sea 6449?module_item_id=828652 OEC Onasing a sing...

Transcribed Image Text:

U Real www New M Inbc M Inbc Unt M Sea 6449?module_item_id=828652 OEC Onasing a sing Peal A A G Following are descriptions of 10 internal controls. 1. The company has an organizational chart that establishes the formal lines of reporting and authorization protocols. 2..Before a cash disbursement can be processed, all payee information must be verified by matching the payee to the company's approved vendor listing. 3. The company's computer systems track individual transactions and automatically accumulate transactions to create a trial balance. 4. On a monthly basis, department heads compare a budget to actual performance report and investigate unusual differences. 5. The company must receive university transcripts documenting all college degrees earned before an individual can begin employment with the company. 6. Senior management obtains data about external events that might affect the entity and evaluates the impact of that information on its existing accounting processes. 7. Each quarter, department managers are required to perform a self-assessment of the department's compliance with company policies. Reports summarizing the results are to be submitted to the senior executive overseeing that department. 8. The system automatically reconciles the detailed accounts receivable subsidiary ledger to the accounts receivable general ledger account on a daily basis. 9. The company has developed detailed accounting policy and procedures manuals to provide detailed instructions to employees about how controls are to be performed. 4+ & 7 18 90 * fg 00 144 f10 114 f11 DDI f12 99+ U O P { [ } ] Submit Assig delete hom backspace U Real www New M Inbc M Inbc Unt M Sea 6449?module_item_id=828652 OEC Onasing a sing Peal A A G Following are descriptions of 10 internal controls. 1. The company has an organizational chart that establishes the formal lines of reporting and authorization protocols. 2..Before a cash disbursement can be processed, all payee information must be verified by matching the payee to the company's approved vendor listing. 3. The company's computer systems track individual transactions and automatically accumulate transactions to create a trial balance. 4. On a monthly basis, department heads compare a budget to actual performance report and investigate unusual differences. 5. The company must receive university transcripts documenting all college degrees earned before an individual can begin employment with the company. 6. Senior management obtains data about external events that might affect the entity and evaluates the impact of that information on its existing accounting processes. 7. Each quarter, department managers are required to perform a self-assessment of the department's compliance with company policies. Reports summarizing the results are to be submitted to the senior executive overseeing that department. 8. The system automatically reconciles the detailed accounts receivable subsidiary ledger to the accounts receivable general ledger account on a daily basis. 9. The company has developed detailed accounting policy and procedures manuals to provide detailed instructions to employees about how controls are to be performed. 4+ & 7 18 90 * fg 00 144 f10 114 f11 DDI f12 99+ U O P { [ } ] Submit Assig delete hom backspace