Reference no: EM133173462

Question - Scenario: You are Manager of the Company.

1. How does management verify that all purchase orders are justified, authorised, within budget and accounted for within the correct accounting period?

2. What mechanisms prevent the invalid, unauthorised and fraudulent use of official orders?

3. How does management ensure that adequate and appropriate supplies are obtained to sustain the required business activities?

4. How does management ensure that goods and services are always obtained at the most economical and fair price?

5. How does management verify that all suppliers are stable, reliable and capable of meeting the organisation's needs at the optimum price?

6. What processes ensure supplies are to the required standard, specification and quality?

7. What mechanisms ensure that all goods are received on time and that overdue deliveries are identified and progressed?

8. How does management verify that all purchases are correctly recorded in the stock control cards and accounting records?

9. How do you orders confirmed to be within the agreed budgets at the point of commitment, and how is an unauthorized commitment prevented?

10. How does management verify that the format and content of all official orders conform to the required standards and legislation?