after corporate scandals in the 2000s Congress passed it requiring publicly traded UNITED STATE corporations to maintain internal control. can bring about fines or imprisonment. created the Public Company kind of Accounting Oversight Board
over-the-respond to receipts: amount due visible by customer, itemized receipts, counting adjust received, cash register tape accumulates transactionsmail receipts: should be opened in the existence of at leastern 2 mails clerks, endorsing checks for deposit only
voucher systems: networks of approval by authorized individuals through authorization formspetty cash fund: offered to pay tiny amounts
a process designed to administer reasonable assurance about the accomplishment of agency objectives related to operations, reporting, and also complianceenhance relicapability of accountancy documents, increase efficiency of operations, encertain compliance with laws
rests on the premise that the expenses of creating control actions have to not exceed their benefit
Control activities are the backbamong the company"s initiatives to resolve the risks it encounters, such as __________.
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The certain regulate tasks provided by a company will certainly vary, depending upon ________________ of the threats confronted. This assessment
establishment of responsibilitysegregation of dutiesdocumentation proceduresphysical controlsindependent internal verificationhumale resource controls
Establishing duty often needs limiting accessibility just to ___________ personnel, and then identifying those personnel. Give an example of this.
Different individuals have to be responsible for associated activities.The responsibility for record-maintaining for an ascollection should be separate from the physical custody of that asset.
The occupational of one employee should, without duplication of effort, provide a reliable basis for evaluating the job-related of one more employee.
Making one individual responsible for connected activities ________________ the potential for errors and irregularities.
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Companies should assign connected ______________ tasks, or sales tasks, to various individuals. This is bereason absupplies are less likely to take place when companies divide the purchasing, or sales, work.