Prenumbered printed cheques are an example of which internal control principle?
A) Technological controls
B) Maintain adequate records
C) Perform regular and independent reviews
D) Technological controls and maintain adequate record
E) All of the above

Question

Quizplus · Accepted Answer

Prenumbered printed cheques are an example of a control that helps to maintain adequate records. The use of prenumbered cheques ensures that each cheque is accounted for and helps to prevent fraud or errors in the financial transactions of the business. While technological controls may also be used in conjunction with prenumbered cheques, such as encryption or secure banking systems, the primary principle being demonstrated in this case is maintaining adequate records. Regular and independent reviews may also be a useful control in preventing fraud or errors, but this principle is not directly related to the use of prenumbered printed cheques.

Prenumbered Printed Cheques Are an Example of Which Internal Control