A Company Employs Three Accounts Payable Clerks and One Treasurer

Multiple Choice

A company employs three accounts payable clerks and one treasurer. Their responsibilities are as follows: $\begin{array}{ll}\text { Employee}&\text { Reviews}\\\text { Clerk } 1 & \text { Review vendor invoices for proper signature approval. } \\\text { Clerk } 2 & \text { Enters vendor invoice into the accounting system and verifies payment terms. } \\\text { Clerk } 3 & \text { Posts entered vendor invoices to accounts payable ledger for payment and mail } \\& \text { checks. } \\\text { Treasurer } & \text { Review the vendor invoices and signs each check. }\end{array}$ Which of the following would indicate a weakness in the company's internal controls?

A) Clerk 1 opens all of the incoming mail.
B) Clerk 2 reconciles the accounts payable ledger with the general ledger monthly.
C) Clerk 3 mails the checks and remittances after they have been signed.
D) The treasurer uses a stamp for signing checks.