Exam 5: The Expenditure Cycle Part I: Purchases and Cash Disbursements Procedures

The purpose of the receiving report is to

In a firm with proper segregation of duties,adequate supervision is most critical in

Supervision is extremely important in the receiving department.Two main reasons were given.What were they? Why are these important?

How does the procedure for determining inventory requirements differ between a basic batch processing system and batch processing with real-time data input of sales and receipts of inventory? What about for the procedures used by the receiving department?

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

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

The document which will close the open purchase requisition file is the

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

When a cash disbursement in payment of an accounts payable is recorded

Where is access control exercised in the purchasing/cash disbursement functions?

Explain why supervision is so important in the receiving department.

Of the following duties,it is most important to separate

In regards to the accounts payable department,which statement is not true?

Explain why a three way match may not be required for transactions covered by a trading partner agreement.

The accounts payable department reconciles the accounts payable subsidiary ledger to the control account.

Identify three process controls in the expenditure cycle.

What function or department typically initiates a purchase in a merchandising business?

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

When a copy of the receiving report arrives in the purchasing department,it is used to

Inventory control should be located in the warehouse.