Internal Cash Control

Internal Cash view ACC/220 January 2, 2010 Alicia Hubbard Internal Cash Control There atomic pattern 18 many another(prenominal) weaknesses in the internal change control everywhere the cash disbursements of the Idaho social club scenario. Having an individual with multiple responsibilities will ready weaknesses in the connections control over cash disbursement. The company is utilize un-numbered checks that ar accessed by more than 1 employee. The checks are non locked up, so they are liable to be stolen by an wrong employee. The invoices are not creation corroborate for accuracy antecedent to being salaried and filed. There are too many employees with authorization to issue checks without having a aright record keeping system of them. The company should go through pre-numbered checks with entirely one employee to have access to them. The checks should require two signatures. The bug out broker and the financial officer should twain verify the accuracy of the trafficker bills in the first place issuing payment. The invoices should not except be stamped as paid but also dated and the check number and authorizing call should be recorded on the invoice as soundly.

By creating a paper trail of checks and balances, as well as segregating the different duties and responsibilities, leaving each individual accountable for a certain set of duties, it would be easier to keep booster line of what each employee was doing. It would help to deter pasquinade, theft and misconduct of the employees. memoranda to staff: Effective immediately, the company will use p re-numbered checks, nevertheless issuable b! y the treasurer. They will require the signature of the purchaser and the treasurer. The treasurer will have key control of the filing reposition locker as well as the verification accountability of the invoices. in all vendor bills will be corroborate by both the purchaser and the treasurer. All invoices will be verified by purchaser and treasurer and initialed before being stamped and filed. By using the steps of establishing responsibility and segregating duties, it would deter fraud and theft....If you want to get a full essay, order it on our website: OrderCustomPaper.com

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