First Canadian Bank has the following internal controls over cash. Identify the key element of internal...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
First Canadian Bank has the following internal controls over cash. Identify the key element of internal control that is applicable to each of the following: 1. All incoming electronic fund transfers are recorded by the bank's treasury department. Any repayments to customer loans are handled by the loans administration department. 2. The bank conducts security clearance checks on all employees. 3. Disbursement on loans is documented by a loans officer as per the approved loan agreements, authorized by a supervisor and executed by the branch manager. These authorizations are evidenced by signatures on loan documents. All loans initiated are documented by underwriters, approved by the credit officer and authorized by the branch manager. 4. 5. Each teller uses a different terminal and is assigned a unique password for accessed to the banking system. 6. At the end his or her shift, the bank teller ensures that all cheques, cash deposits, and withdrawals are reconciled to cash in the register which is signed off by a senior teller. 7. At the end of each day all cash is secured in bank vault. Access to the vault could only be gained by individual iris scan using a specialized camera. Customers have access to their accounts electronically using unique id and password. Customers are requested to answer predetermined security questions if the account is accessed from a different computer. 8. 9. The bank system electronically monitors unusual activity in customer accounts. First Canadian Bank has the following internal controls over cash. Identify the key element of internal control that is applicable to each of the following: 1. All incoming electronic fund transfers are recorded by the bank's treasury department. Any repayments to customer loans are handled by the loans administration department. 2. The bank conducts security clearance checks on all employees. 3. Disbursement on loans is documented by a loans officer as per the approved loan agreements, authorized by a supervisor and executed by the branch manager. These authorizations are evidenced by signatures on loan documents. All loans initiated are documented by underwriters, approved by the credit officer and authorized by the branch manager. 4. 5. Each teller uses a different terminal and is assigned a unique password for accessed to the banking system. 6. At the end his or her shift, the bank teller ensures that all cheques, cash deposits, and withdrawals are reconciled to cash in the register which is signed off by a senior teller. 7. At the end of each day all cash is secured in bank vault. Access to the vault could only be gained by individual iris scan using a specialized camera. Customers have access to their accounts electronically using unique id and password. Customers are requested to answer predetermined security questions if the account is accessed from a different computer. 8. 9. The bank system electronically monitors unusual activity in customer accounts.
Expert Answer:
Answer rating: 100% (QA)
Answer A process that is mainly designed and created to deliver reasonable assurance is called inter... View the full answer
Related Book For
Financial Accounting Tools for Business Decision Making
ISBN: 978-1118644942
6th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
Posted Date:
Students also viewed these accounting questions
-
Rolling Hills Ltd. has the following internal controls over cash payments. Identify the control activity that is applicable to each procedure. 1. Company cheques are prenumbered. 2. The bank...
-
Tene Ltd. has the following internal controls over cash receipts. Identify the control activity that is applicable to each procedure. 1. All over-the-counter receipts are recorded on cash registers....
-
Miramichi Company has the following internal controls over cash receipts. Identify the control activity that is applicable to each of the following: 1. The company conducts thorough background checks...
-
A car is randomly selected at a traffic safety checkpoint, and the car has 6 cylinders. Determine whether the given values are from a discrete or continuous data set.
-
Returns on a certain business venture, to the nearest $1,000, are known to follow the probability distribution XP(x) -2,000 ......0.1 -1,000 ......0.1 0 ......0.2 1,000 ......0.2 2,000 ......0.3...
-
You are a manager with an investment budget of $8 million. You may invest in the following projects. Investment and cash-flow figures are in millions of dollars. a. Why might these projects have...
-
What is bivariate regression?
-
Glenn Grimes is the founder and president of Heartland Construction, a real estate development venture. The business transactions during February while the company was being organized are listed...
-
Madsen Motors's bonds have 8 years remaining to maturity. Interest is paid annually; they have a $1,000 par value; the coupon interest rate is 6.5%; and the yield to maturity is 9%. What is the...
-
Garnett Jackson, the founder and CEO of Tech Tune-Ups, stared out the window as he finished his customary peanut butter and jelly sandwich, contemplating the dilemma currently facing his firm. Tech...
-
Matrix Enterprise, which uses the periodic inventory method, purchases different letters for resale. Matrix had no beginning inventory. It purchased A through G in January at $4 per letter. In...
-
What role does leadership play in shaping organizational structure, particularly in fostering a culture of empowerment, inclusivity, and resilience amidst dynamic environmental pressures and...
-
A student with a specific learning disability and speech or language impairment, .what could be What are the student's academic, developmental, and functional strengths, interest areas, significant...
-
Identify the five types of lymphocytes (white blood cells) in the following histological images, and provide a brief summary of each of their functions. (a) RBC RBC O (b) RBC RBC (d) (e) RBC (c)
-
Reflect on your knowledge of human anatomy and physiology address How will your increased knowledge of anatomy and physiology impact in your career as a nurse? Does anatomy and physiology improve...
-
22 year-old LGBTQIA female Hispanic immigrant living in a middle class suburb. Post a summary of the interview and a description of the communication techniques you would use with the patient....
-
Answer the following questions using the labour statistics of Glenville below: Employed 14,050,214 Unemployed ??? Not in the labour force Adult population 8,091,375 26,112,038 a) The number of...
-
Use the information given about the angles and to find the exact value of: (a) sin( + ) (b) cos( + ) (c) sin( - ) (d) tan ( + ) (e) sin(2) (f) cos (2) (g) sin /2 (h) cos/2 cos = 4/5, 0 < < /2; cos =...
-
On a trial balance, why does the retained earnings balance shown relate to the beginning of the period rather than the end of the period?
-
The Molson Coors Brewing Company's financial statements recently reported the following selected data (in U.S. $ millions): Total current assets ................................. $ 1,748.0 Total...
-
Bob Leno, a business student, is working on a case for one of his classes. The company in the case needs to raise cash to market a new product it has developed. His roommate Saul Cain, an engineering...
-
What is the activity in \(\mathrm{Bq}\) and in \(\mathrm{Ci}\) of a \(2.0 \mathrm{mg}\) sample of \({ }^{3} \mathrm{H}\) ?
-
The activity of a sample of the cesium isotope \({ }^{137} \mathrm{Cs}\) is \(2.0 \times 10^{8} \mathrm{~Bq}\). Many years later, after the sample has fully decayed, how many beta particles will have...
-
The technique known as potassiumargon dating is used to date volcanic rock and ash, and thus establish dates for nearby fossils, like this 1.8 -millionyear-old hominid skull. The potassium isotope...
Study smarter with the SolutionInn App