aue202-audit_credit_purcharses[1]

aue202-audit_credit_purcharses[1] - Internal Controls over...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Internal Controls over CREDIT PURCHASES Authority for purchasing should be invested in certain employees or a purchasing department ORDER Orders should be numbered consecutively and all orders should be accounted for. Segregation of duties between personnel responsible for Ordering the goods Receiving and storage of goods Checking of invoices against orders, delivery notes and goods received notes A stationery register should be maintained by an independent person to exercise control over the issues of unused order books and goods received books A record of goods received should be maintained Invoices should be checked against appropriate delivery notes, good received notes and orders, and stamped and initialed as having being checked by the responsible person before the transactions is entered into the purchases journal A record must be kept of invoices in dispute and of goods returned to suppliers
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Substantive Procedures of TRADE PAYABLES Payments Journal Compare the entries in the payments journal to the
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 03/22/2011 for the course AUE 202M taught by Professor Unknown during the Spring '10 term at University of South Africa.

Page1 / 2

aue202-audit_credit_purcharses[1] - Internal Controls over...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online