Exam 10: Auditing the Expenditure Cycle

Which department authorizes changes to employee pay rates?

What is the purpose of the suppliers invoice?

What are the steps taken in the cash disbursement system?

What is the purpose of the purchase order?

To maintain a good credit rating and to optimize cash management,cash disbursements should arrive at the vendor's place of business

The major risk exposures associated with the receiving department include all of the following except

Explain why supervision is so important in the receiving department.

The document that records the total amount of time spent on a production job is the

In a merchandising firm,authorization for the payment of inventory is the responsibility of

A three way match involves a purchase order,a purchase requisition,and an invoice.

In a merchandising firm,authorization for the purchase of inventory is the responsibility of

Personnel actions forms are used to do all of the following except

Timekeeping is part of the personnel function.

The accounts payable clerk is responsible for updating the AP Control accounts to reflect each vendor liability.

If a company uses an actual cost system,inventory records can first be updated from the

Authorization for payment of an accounts payable liability is the responsibility of

Describe an internal control procedure that would prevent issuing two checks in payment of the same invoice.

What is a vouchers payable system and why is it used?

Authorization of purchases in a merchandising firm occurs in the inventory control department.

All of the following departments have a copy of the purchase order except