The essential characteristic of the liabilities control system is to separate the authorization and approval to initiate

Question:

The essential characteristic of the liabilities control system is to separate the authorization and approval to initiate a transaction from the responsibility for recordkeeping.

Required:
What would constitute the authorization for recording? What documentary evidence could auditors examine as evidence of this authorization?

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...