Chapter 4 Cash and Internal Controls Answer true-or-false questions about occupational fraud (LO1) E4-1 Below are several statements about occupational fraud. 1. For most large companies, occupational fraud is minimal and internal controls procedures are unnecessary. 2. Managers have a variety of reasons for manipulating the numbers in financial statements, such as maximizing their compensation, increasing the company’s stock price, and preserving their jobs. 3. Internal control procedures
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The weaknesses in internal control over cash disbursements at Idaho Company are; 1. Checks are not pre-numbered, 2. More than one person is authorized to issue checks, 3. Unissued checks are not locked in a safe or locked cabinet. My recommendations to improve company procedures for internal control over cash disbursements are; there should only be one specified individual such as a treasurer authorized to sign checks. There should never be two people authorized for check signing. Make sure
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The following is a list of weakness in internal control over cash disbursements Idaho Company present: • Placing unissued check in an unsecure place. The checks are placed in an unlocked file cabinet. • Checks are not prenumbered. • There is only one process of check approval • There is no second verification on mathematical accuracy of the vendor’s invoice. • There is only one person conducting reconciliation of the account there should be a second person verifying that the numbers are correct
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E4-5 A) This weaknesses in internal control over cash disbursements is the many people who have access to the un-issued checks. The checks should be in a vault or safe with restricted access and only authorized personnel with access. Another weakness in internal control over cash disbursements is that the Idaho Company uses checks that are not pre-numbered. Idaho’s Company should use checks that are numbered as well as imprinted with the amount in inedible ink. This can cause some major errors in
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Internal Cash Control Axia College of University of Phoenix Scenario E4-5 Idaho Company The Idaho Company scenario presents few weaknesses in internal control over cash disbursements. The first weakness comes obvious when they do not have pre-numbered checks and the more than one person has access to them, in this case two employees, the treasures and the purchasing agent, both have access to unissued checks. Additionally checks are kept in an unsecured (unlocked) file cabinet. Another
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AN EVALUATION OF THE INTERNAL CONTROLS SYSTEM FOR CASH FOR THE CASE OF NAIROBI SMALL BUSINESSES BY CLEOPHAS MUSINGA A Management Research Project Submitted In Partial Fulfillment For The Requirements Of The Award Of Bachelor Of Commerce (BCOM), School Of Business, University Of Nairobi JULY, 2008 DECLARATION This research project is our own original work and has not been submitted for academic purposes in any institution of higher leaning. Name Number
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|[pic] |Application Form | This application form is available in other formats upon request. It is in 3 parts: parts 1 and 3 contain personal information and are confidential documents, which will only be seen by Human Resources; part 2 relates specifically to the post you are applying for and will be seen by those making selection decisions. Please refer to the Guidance
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The four types of consumer offerings are: convenience offerings, shopping offerings, specialty offerings, and unsought offerings. Convenience offerings are products or services that are common and are pretty much the same as others like them. Since they are all about the same, consumers don’t usually put very much effort in to finding a specific brand, they just purchase the product or service that they see first. An example of this would be chewing gum products. Shopping offerings are where the
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Cash Control Wilmington University June 28, 2015 This paper was prepared for Leadership Development and Change Management MGT 6503 Week 7 Final Project: Cash Control Cash Control In an organization as large as the healthcare system I work for, each clinical department has their own financial group consisting of a Chief Financial Officer and a Director who is supported by two to three accountants. To name a few, some of these many clinical
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Week 4: Internal Control, Cash, and Receivables - Class Activity 1. | Which one of the following is not a primary component of an internal control system? A. | Risk assessment | B. | Information and communication | C. | Monitoring | D. | Rationalization | | 2. | Which of the following is not a reason why an organization establishes a system for internal control? A. | To safeguard its assets | B. | To increase efficiency of operations | C. | To ensure compliance with laws and regulations
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