The internal control procedures in Valentine Company result in the following provisions Identify the principles of internal control that are being followed in each case. Employees who have physical custody of assets do not have access to the accounting records. a. Physical Controls Segregation of Duties Independent Internal Verification Establishment of Responsibility Each month, the assets on hand are compared to the accounting records by an b. internal auditor. Human Resource Controls Documentation Procedures A prenumbered shipping document is prepared for each shipment of goods to C. customers.

The internal control procedures in Valentine Company result in the following provisions Identify the principles of internal control that are being followed in each case. Employees who have physical custody of assets do not have access to the accounting records. a. Physical Controls Segregation of Duties Independent Internal Verification Establishment of Responsibility Each month, the assets on hand are compared to the accounting records by an b. internal auditor. Human Resource Controls Documentation Procedures A prenumbered shipping document is prepared for each shipment of goods to C. customers.

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

The internal control procedures in Valentine Company result in the following provisions
Identify the principles of internal control that are being followed in each case.
Employees who have physical custody of assets do not have access to the
a.
accounting records.
Physical Controls
Segregation of Duties
Independent Internal Verification
Establishment of Responsibility
Human Resource Controls
Each month, the assets on hand are compared to the accounting records by an
b.
internal auditor.
Documentation Procedures
A prenumbered shipping document is prepared for each shipment of goods to
C.
customers.

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