Which of the following is not a sound internal control procedure for cash disbursements?
A)Paying with a check to provide a record of the payment
B)Designating an authorized check-signer who has no cash record keeping responsibilities
C)Marking supporting documents when paid in order to prevent duplicate payment
D)Paying with petty cash to expedite the payment process

Question

Quizplus · Accepted Answer

Paying with petty cash does not provide a proper record of the payment, making it difficult to track and audit. Using checks, designating an authorized check-signer, and marking supporting documents are all important internal control procedures for cash disbursements that ensure proper record keeping and prevent errors or fraud.

Which of the Following Is Not a Sound Internal Control