Which of the following is the most effective test of control to detect vouchers prepared for the payment of goods that were not received?
A)Counting of goods upon receipt in the storeroom.
B)Matching of purchase order, receiving report and supplier invoice for each voucher in the accounts payable department.
C)Comparison of goods received with goods requisitioned in the receiving department.
D)Verification of vouchers for accuracy and approval in the internal audit department.

Question

Quizplus · Accepted Answer

Matching of purchase order, receiving report, and supplier invoice provides evidence that the goods were received and the invoice is legitimate. This test ensures that the goods were received before payment is made. Counting goods upon receipt in the storeroom, comparison of goods received with goods requisitioned in the receiving department, and verification of vouchers for accuracy and approval in the internal audit department do not provide evidence of whether the goods were received or not.

Which of the Following Is the Most Effective Test of Control