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

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Question

E3B. A list of control procedures follows.
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:
(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 Control
1. Employees are required to take vacations, and the duties of employees are rotated
periodically.
2. Once each month a person from the home office visits each branch store to examine
the receiving records and to compare the inventory of DVDS with the accounting
records.
3. Purchases of new DVDS must be authorized by purchase order in the home office
and paid for by the treasurer in the home office. Receiving reports are prepared in
each branch and sent to the home office.
4. All new personnel receive one hour of training in how to receive and catalogue new
DVDS.
5. The company maintains a perpetual inventory system that keeps track of all DVDS
purchased, sold, and on hand.
Match the control procedures to each of the policies listed. (Hint: Some may have more
than one answer.)

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