Internal control over accounts payable is strengthened when a monthly reconciliation of the vendors' statements with recorded liabilities and the accounts payable master file with the general ledger is performed by:
A) the auditor.
B) the purchasing agent.
C) an independent person.
D) any of the above.

Question

Quizplus · Accepted Answer

To ensure adequate internal control over accounts payable, it is best to have an independent person perform the monthly reconciliation of vendor statements with the recorded liabilities and accounts payable master file with the general ledger. This helps to prevent any potential conflicts of interest or errors. The auditor and purchasing agent may have other responsibilities or duties that could impact the effectiveness of the internal control.

Internal Control Over Accounts Payable Is Strengthened When a Monthly