What could the business do to correct the weakness

Reference no: EM131819253

Question: Evaluating internal control over cash payments Gary's Great Cars purchases high-performance auto parts from a Nebraska vendor. Dave Simon, the accountant for Gary's, verifies receipt of merchandise and then prepares, signs, and mails the check to the vendor.

Requirements: 1. Identify the internal control weakness over cash payments.

2. What could the business do to correct the weakness?

Reference no: EM131819253

Questions Cloud

How much gain or loss must lucy recognize on the exchange : Transfer to an Existing Corporation. How much gain or loss must Lucy recognize on the exchange?

What law or rule requires in the testing : Understanding Sarbanes-Oxley and identifying internal control strengths and weaknesses The following situations suggest a strength or a weakness in internal.

Identify the missing internal control procedure : Identifying internal controls Consider each situation separately. Identify the missing internal control procedure from these characteristics.

Evaluating internal control over cash receipts : Evaluating internal control over cash receipts Dogtopia sells pet supplies and food and handles all sales with a cash register.

What could the business do to correct the weakness : Evaluating internal control over cash payments Gary's Great Cars purchases high-performance auto parts from a Nebraska vendor.

Make the general journal entry to create the petty cash fund : Accounting for petty cash Christine's Dance Studio created a $370 imprest petty cash fund. During the month, the fund custodian authorized and signed petty.

What is the balance of the petty cash account at all times : Controlling petty cash Hangin' Out Night Club maintains an imprest petty cash fund of $150, which is under the control of Sandra Morgan.

Prepare the bank reconciliation : Preparing a bank reconciliation Brett Warren Corporation operates four bowling alleys. The business just received the October 31, 2016, bank statement.

Identify the internal control weakness in given situation : Identifying internal control weakness in cash receipts K Street Productions makes all sales on credit. Cash receipts arrive by mail.

User Account

All Pages