Hinson 7-2 Internal Control Exercise

Hinson 7-2 Internal Control Exercise - purposely. Another...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Intermediate Accounting I Assignment 7-2 Internal Control Exercise Jamie Hinson February 19, 2008 One major solution would be to have dual (or more) control the petty cash disbursements. This way John can’t be accused of steeling – or be tempted to steel – because if he’s the only one who takes care of it, he could easily make a check out for petty cash and go cash it anywhere. Another solution would be to have dual control prepare the checks for Leiser’s signature. Who knows what Betty is doing with all of the checks – she could lose one mistakenly or
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: purposely. Another idea would be to have more than one person maintain the cash register – there is too many people who embezzling or stealing in today’s world! Another idea would be to have everything under lock and key and dual control – so one person has a key and the other person knows the combination to the lock – that way they both have to be together in order to get any information out of a vault or a safe that it is kept it....
View Full Document

This note was uploaded on 09/08/2010 for the course ACCOUNTING 320 taught by Professor Hickman during the Spring '10 term at Heidelberg.

Ask a homework question - tutors are online