Internal Cash examine ACC/220 January 2, 2010 Alicia Hubbard Internal Cash Control There atomic pattern 18 more weaknesses in the internal change control everywhere the cash disbursements of the Idaho order scenario. Having an individual with multiple responsibilities will ready weaknesses in the smart sets control over cash disbursement. The company is using un-numbered checks that ar accessed by more than 1 employee. The checks are non locked up, so they are liable to be stolen by an wrong employee. The invoices are not cosmos corroborate for accuracy prior to being pay and filed. There are too many employees with authorization to issue checks without having a aright record retention system of them. The company should comport pre-numbered checks with entirely one employee to have access to them. The checks should require two signatures. The bug out agent and the treasurer should twain verify the accuracy of the trafficker bills onward issuing payment. The invoices should not except be stamped as paid but also dated and the check number and authorizing names should be recorded on the invoice as soundly.
By creating a paper trail of checks and balances, as well as segregating the different duties and responsibilities, leaving each individual accountable for a certain set of duties, it would be easier to keep booster personal credit line of what each employee was doing. It would help to deter craft, theft and misconduct of the employees. memo to staff: Effective immediately, the company will use pre-numbered checks, merely issuable by the treasurer. They will require the signature of the purchaser and the treasurer. The t reasurer will have key control of the filing! terminus locker as well as the verification function of the invoices. in all vendor bills will be support by both the purchaser and the treasurer. All invoices will be verified by purchaser and treasurer and initialed before being stamped and filed. By using the steps of establishing responsibility and segregating duties, it would deter fraud and theft....If you want to get a full essay, order it on our website: OrderEssay.net
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