E3B. A list of control procedures follows.e. Periodic independent verificationf. Separation of dutiesg. Sound personnel practicesa. Authorizationb. Recording transactionsc. Documents and recordsd. Physical controlsMassy Video Store maintains the following policies with regard to purchases of newDVDS at each of its branch stores:(Сontinued)Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.Chapter 8: Cash and Internal Control1. Employees are required to take vacations, and the duties of employees are rotatedperiodically.2. Once each month a person from the home office visits each branch store to examinethe receiving records and to compare the inventory of DVDS with the accountingrecords.3. Purchases of new DVDS must be authorized by purchase order in the home officeand paid for by the treasurer in the home office. Receiving reports are prepared ineach branch and sent to the home office.4. All new personnel receive one hour of training in how to receive and catalogue newDVDS.5. The company maintains a perpetual inventory system that keeps track of all DVDSpurchased, sold, and on hand.Match the control procedures to each of the policies listed. (Hint: Some may have morethan one answer.)

Internal control procedures are the processes implemented so that errors and frauds are kept in…

e. Periodic independent verification f. Separation of duties g. Sound personnel practices a. Authorization b. Recording transactions c. Documents and records d. Physical controls Massy Video Store maintains the following policies with regard to purchases of new DVDS at each of its branch stores: (Continued) red. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

e. Periodic independent verification f. Separation of duties g. Sound personnel practices a. Authorization b. Recording transactions c. Documents and records d. Physical controls Massy Video Store maintains the following policies with regard to purchases of new DVDS at each of its branch stores: (Continued) red. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The following are key controls over the purchasing and disbursement cycle except: A. Proper authorization of purchases B.Timely recording of transactions including independent review C. Proper authorization of disbursement D. Segregation of duties between the credit department and custody
Which of the following control procedures mitigates the threat of duplicate payments? Select one: a. When an invoice is paid, the invoice and the entire voucher package should be canceled (for example marked “paid”) in a way that it cannot be submitted again. b. When evaluated receipt settlement (invoice-less system) is used, receiving reports need not be marked as paid as no invoices are generated. c. Photocopied invoices can be paid. d. Invoices should be approved for payment only when accompanied by a valid purchase order.
Which of the following is false pertaining to the voucher system? Multiple Choice Purchasing, receiving and paying for merchandise are divided among several departments (or individuals). Only authorized departments and individuals are allowed to incur liabilities. It is applied to all payments (except those using petty cash). It is a set of procedures and approvals designed to control cash payments and the acceptance of liabilities. It is not necessary if the supplier provides both receiving report and invoice with the merchandise shipped.
Case Study A Scenario A major retailer asked the IS auditor to review their readiness for complying with credit card company requirements for protecting cardholder information. The IS auditor subsequently learned the following information. The retailer uses wireless point-of-sale registers that connect to application servers located at each store. These registers use wired equivalent protection (WEP) encryption. The application server, usually located in the middle of the store’s customer service area, forwards all sales data over a frame relay network to database servers located at the retailer’s corporate headquarters, and using strong encryption over an Internet virtual private network (VPN) to the credit card processor for approval of the sale. Corporate databases are located on a protected screened subset of the corporate local area network. Additionally, weekly aggregate sales data by product line is copied from the corporate databases to magnetic media and mailed to a…
The letter B only.
Please help.
Each of the below describes a procedure consistent with a strong system of internal control except… Question 7 options: The customer order department determines when a sale has occurred and should be recorded. The accounts payable department agrees purchase requisitions, purchase orders, receiving reports, and invoices prior to payment. Quantities ordered are excluded from the receiving department copy of a purchase order so receiving personnel count and inspect merchandise received. The use of remittance advices for customers' payments on accounts receivable received in the mail.
Please answer multichoice question in photo. There may be more than one answer
Which of the following is the best reason for prenumbering in numerical sequence documents such as sales orders, shipping documents, and sales invoices?a. Enables company personnel to determine the accuracy of each document.b. Enables personnel to determine the proper period recording of sales revenue and receivables.c. Enables personnel to check the numerical sequence for missing documents and unrecorded transactions.d. Enables personnel to determine the validity of recorded transactions.
Assurance Services. Henry’s Health Food Store maintains a perpetual inventory on itscomputer. The sales representative from A-Plus Vitamins has recommended the following toHenry:∙ All the files should have password protection.∙ A-Plus Vitamins should be given the URL and the password for Henry’s inventory file onthe computer, which can be accessed from outside.∙ A-Plus Vitamins will search the inventory for items that fall below an established reorderpoint and will automatically ship a set amount of product to Henry’s.Required:a. What are the advantages of this arrangement for Henry’s? For A-Plus Vitamins?b. What concerns might Henry’s have in this arrangement?c. How might these concerns be addressed?
Which control activity is the entity implementing when all purchase orders above S5,000 should be authorized by a responsible senior ? Select one a. Adequate documents and records b. Independent checks on performance c. Proper authorization of transactions and activities d. Physical control over assets and records
When aninventory itemfalls to the recorder point, a purchase requisition is automatically generated and printed on the terminal in the purchasing department. The purchasing clerk select suppliers and prepare a purchase order. One copy of the purchase order is sent to the supplier and another copy is sent to the receiving department. The purchasing clerk then adds a record to the open/closed purchase order file through an update program in the data processing department.When the receiving clerk receivesthe delivery from the supplier, the clerkreconciles the items with the packing slip and the purchasing order. After the reconciliation, the receiving clerk prepares a hard-copy receiving report recording the quantity and quality of the goods received. One copy of the receiving report accompaniesthe items to the warehouse and another copy is filed in the receiving department. Using the department terminal, the receiving clerk adds a record to the digital receiving report file. The system…