Use the drop down box to complete the sentence. The risk of kickbacks are associated with the purchasingreceivingcash disbursement function.
Added by Vincent S.
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Step 1: Identify the functions listed in the sentence: purchasing, receiving, cash disbursement. Show more…
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Mauya M.
You are a new hire in the Accounting department of Gellin's Gelatins, a global manufacturer of snack foods. For your first assignment, you must review the risk and controls for fixed asset acquisitions to ensure that the correct alignment of risk and controls exists, and if it doesn't, you need to create an updated version of the alignment and submit it for approval. Match each control with the risk it is intended to mitigate. Control Risk Non-collusion affidavits Fraudulent bidding Periodically review physical assets Have management review accounting transactions Perform fixed asset reconciliations Initially approve fixed asset purchase Enter assets into the main fixed asset table Tag fixed assets Have employee review and sign a code of conduct Have management review acquisition agreements Ensure policies limiting fixed assets expenditures Are clearly documented and authorized Acquisitions not being conducted in adherence with policy Fixed asset being expensed instead of being capitalized Fraudulent bidding Fraudulent bidding or approval of non-budgeted items Improper use of the asset Inability to properly track the asset
Akash M.
Within each of the processes below, a risk will be identified. Your job is to suggest the control that can be put in place to address the risk, while maintaining the integrity of the internal control environment: Jeremiah Jams is currently creating its internal control environment surrounding the disbursement of cash. Jeremiah has established the below risks he feels needs to be addressed within the cash disbursement process: 1. Opening the Mail – Jeremiah wants to ensure that the mail is being opened by an individual who does not have access to the accounting system to post entries. Suggested control(s): 2. Invoice processing – Jeremiah wants to ensure that invoices are not processed in the accounting system prior to the department managers' review and approval. Suggested control(s): 3. Voucher package preparation – Jeremiah wants to ensure that invoice amounts agree to previously established purchase orders prior to payment. Suggested control(s): 4. Voucher package approval – Jeremiah wants proper review and approval of the voucher package. Suggested control(s): 5. Check custody – Jeremiah wants to ensure that checks are secure and are only accessible to a small number of employees. Suggested control(s): 6. Check payments – Jeremiah wants to ensure that individuals authorized to sign checks do not have access to process them. Suggested control(s): 7. Reconciliation – Jeremiah wants to ensure checks were subsequently cashed. Suggested control(s):
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