Controls Of Flows

gibes for Outflows Farishta Hassanpur, Jeremy Keturi, Daniel Meixner ACC 544 September 22, 2011 Vaughn Johnson works for Outflows This questionnaire will attend most manufacturing and service businesses in determining if correct intragroup control practices have been utensil for outflows. Most outflows will f each(prenominal)(prenominal) into one of the following hexad categories: purchasing, accounts collectible, cash disbursements, finance, investment, and payroll. Control Activities for purchasing and Accounts PayableAddresses Fraud or Significant Risk?Control Has Been Implemented?Automated? efficaciously Designed?Test Control?CommentsProper segregation of duties should be in dwelling and operating(a) for the following responsibilies: ? initiate brand ones palms hunting lodges. ? approve bargain for orders. ? place the purchase orders. ? Receive the orders. ? vex to accounts account payable. ? Pay accounts payable. ? custody of inscription or assets. ? Record billet for purchases and payments. ? Reconciliation of purchases and accounts payable.

The purchasing part, account department, receiving department, and shipping department should all be independent of each other.Accountants should only record accounts payable when supporting documents are in order. Accountants should record purchases and payable as of the date the goods or serve are received. Purchases over a specified dollar union should be approved by more than one person.Checks should be prenumbered and all conk outs accounted for.Purchases diary should be tested to attend for patterns and controls.Incoming purchases should be compared with purchase orders to manipulate everything ordered arrived and receiving hide should be completed.Accounts payable department should check the mathematical the true of vendor invoices.The...If you want to name a full essay, order it on our website: Ordercustompaper.com

If you want to get a full essay, wisit our page: write my paper