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Match the Appropriate Cash Receipts Procedure Described Below with the Internal

Question 1

Matching

Match the appropriate cash receipts procedure described below with the internal control principlE.

Premises:

Responses:

Only designated personnel are authorized to handle cash receipts.

Documentation procedures

Different individuals receive cash and record cash receipts.

Establishment of responsibility

Use remittance advice and cash register tapes.

Independent internal verification

Store cash in safes and bank vaults.

Human resource controls

Treasurer compares total receipts to bank deposits daily.

Physical controls

Bonding of employees that handle cash.

Segregation of duties

Premises:

Only designated personnel are authorized to handle cash receipts.

Different individuals receive cash and record cash receipts.

Use remittance advice and cash register tapes.

Store cash in safes and bank vaults.

Treasurer compares total receipts to bank deposits daily.

Bonding of employees that handle cash.

Responses:

Documentation procedures

Establishment of responsibility

Independent internal verification

Human resource controls

Physical controls

Segregation of duties

Correct Answer:

Premises:

Responses:

Different individuals receive cash and record cash receipts.

Segregation of duties

Only designated personnel are authorized to handle cash receipts.

Establishment of responsibility

Store cash in safes and bank vaults.

Physical controls

Use remittance advice and cash register tapes.

Documentation procedures

Bonding of employees that handle cash.

Human resource controls

Treasurer compares total receipts to bank deposits daily.

Independent internal verification