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Why Clerk 2 is not the answer? I thought reconciliation can’t be done by someone who handles accounting records and “enters vendor invoices into the accounting system” is definitely “recording”
A company employs three accounts payable clerks and one treasurer. Their responsibilities are as follows:
Employee Responsibility
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Clerk 1 Reviews vendor invoices for proper signature approval
Clerk 2 Enters vendor invoices into the accounting system and
verifies payment terms
Clerk 3 Posts entered vendor invoices to the accounts payable
ledger for payment and mails checks
Treasurer Reviews the vendor invoices and signs each check
Which of the following would indicate a weakness in the company’s internal control?Incorrect A.
Clerk 1 opens all of the incoming mail.B.
Clerk 2 reconciles the accounts payable ledger with the general ledger monthly.C.
Clerk 3 mails the checks and remittances after they have been signed.D.
The treasurer uses a stamp for signing checks.Correct answer = C.
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