Required: Describe the purpose of each internal control procedure.

a. Prenumbering and periodically accounting for all purchase orders.

b. Receiving department employees do not have access to the quantities ordered on purchase orders

c. Requiring two signatures on checks for large amounts

d. Maintaining an approved supplier list and checking that all purchase orders are issued only to suppliers on that list

e. Cancellation of the voucher package by the cashier after signing the check

f. Requiring that a copy of the receiving report be routed through the inventory stores department prior to going to accounts payable.

g. Requiring receiving department employees to always verify the existence of a valid purchase order before accepting delivery

Answer rating: 100% (QA)

a Prenumbering and periodically accounting for all purchase orders This procedure ensures that all p... View the full answer