80.2K

Verified Solution

Link Copied!

HVIS Top managers delegate all internal control procedures to the accounting department Accounting department staff (or the bookkeeper) orders merchandise and approves invoices for payment. Cash received over the counter is controlled by the sales clerk, who rings up the sale and places the cash in the register. The sales clerk matches the total recorded by the register to each day's cash sales. The employee who signs checks need not examine the payment packet because he is confident the amounts are correct. Define internal control. 2. The system of internal control must be tested by external auditors. What law or rule requires this testing? 3. Identify each item as either a strength or a weakness in internal control, and give your reason for each answer. The following situations suggest a strength or a weakness in internal control. (Click the icon to view the situations) Read the requirements Requirement 1. Define internal control. and all the related measures designed to do the following: Internal control is (Only complete the necessary answer boxes.) HVIS Top managers delegate all internal control procedures to the accounting department Accounting department staff (or the bookkeeper) orders merchandise and approves invoices for payment. Cash received over the counter is controlled by the sales clerk, who rings up the sale and places the cash in the register. The sales clerk matches the total recorded by the register to each day's cash sales. The employee who signs checks need not examine the payment packet because he is confident the amounts are correct. Define internal control. 2. The system of internal control must be tested by external auditors. What law or rule requires this testing? 3. Identify each item as either a strength or a weakness in internal control, and give your reason for each answer. The following situations suggest a strength or a weakness in internal control. (Click the icon to view the situations) Read the requirements Requirement 1. Define internal control. and all the related measures designed to do the following: Internal control is (Only complete the necessary answer boxes.)

Answer & Explanation Solved by verified expert

See Answer