In a system of good internal control, a payment to a supplier requires which documents for proper approval?
A)a journal entry, a supplier invoice, and a description of the goods being purchased
B)a receiving report, an invoice, and a purchase order
C)a purchase order, a journal entry, and a price catalog
D)a supplier invoice, a bill of lading, and the supplier's financial statements

Question

Quizplus · Accepted Answer

A receiving report (to confirm goods were received), an invoice (to know the amount to be paid), and a purchase order (to confirm the order was authorized) are essential documents for proper approval of a payment to a supplier in a system of good internal control. These documents ensure that the goods were ordered, received, and billed as agreed.

In a System of Good Internal Control, a Payment to a Supplier