Internal control : Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations. The following are the principles of internal control: Authorizing the responsibility Segregation of duties Documenting and recording transactions Physical controls Periodic independent verification Human resource controls To explain : The application of physical control principle in cash disbursements

Question

Want to see the full answer?

Answer 1

Question

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Madison Corporation began 2025 with $24,000 in stockholders' equity. Of this amount, $15,000 was in common stock, and there were no changes in the common stock account during 2025. At December 31, 2025, Madison had $28,000 in stockholders' equity. Madison paid out $9,000 in dividends during the year. How much was its net income in 2025? correct answer

Madison Corporation began 2025 with $24,000 in stockholders' equity. Of this amount, $15,000 was in common stock, and there were no changes in the common stock account during 2025. At December 31, 2025, Madison had $28,000 in stockholders' equity. Madison paid out $9,000 in dividends during the year. How much was its net income in 2025?

4 POINTS

Answer 2

Question

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Answer 6

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

Answer 7

Chapter 7, Problem 20Q

(a)

To determine

Internal control: Internal control is a process which ensures continuous reliability of accomplishment, of a company’s objectives, related to operations, financial reporting, and in conformity with laws and regulations.

The following are the principles of internal control:

Authorizing the responsibility

Segregation of duties

Documenting and recording transactions

Physical controls

Periodic independent verification

Human resource controls

To explain: The application of physical control principle in cash disbursements

Answer 8

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Answer 9

(b)

To determine

To explain: The application of human resource control principle in cash disbursements

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 13

Ch. 7 - A local hank reported that it lost 150,000 as the...Ch. 7 - Prob. 2Q Ch. 7 - Prob. 3Q Ch. 7 - Prob. 4Q Ch. 7 - Prob. 5Q Ch. 7 - Prob. 6Q Ch. 7 - Prob. 7Q Ch. 7 - Prob. 8Q Ch. 7 - Prob. 9Q Ch. 7 - Prob. 10Q

Solution Summary: The author explains that internal control ensures continuous reliability of accomplishment, of a company's objectives, related to operations, financial reporting, and in conformity with laws and regulations.

To explain: The application of human resource control principle in cash disbursements

Want to see the full answer?

Chapter 7 Solutions