Asked by Victoria Archie on Jul 20, 2024
Verified
Which of the following is NOT a part of internal control?
A) Separation of duties
B) Purchases are made without approval.
C) A voucher system is used.
D) None of these answers is correct.
Internal Control
Processes and procedures implemented by a company to ensure the integrity of financial and accounting information, promote accountability, and prevent fraud.
Separation Of Duties
is a preventive security measure in organizations to reduce the risk of fraud or error, requiring more than one person to complete key tasks.
Voucher System
A control mechanism in accounting that uses vouchers to record transactions and ensure expenditures are properly authorized.
- Comprehend the fundamentals and significance of internal control within the field of accounting.
Verified Answer
VN
Vaibhav NemaniJul 27, 2024
Final Answer :
B
Explanation :
Purchases made without approval do not constitute a part of internal control systems. Internal control systems are designed to ensure accuracy and reliability in financial reporting, safeguard assets, and encourage adherence to policies. Separation of duties and the use of a voucher system are examples of internal control measures.
Learning Objectives
- Comprehend the fundamentals and significance of internal control within the field of accounting.