In a good internal control system, which of the following documents are required for proper approval of a payment to a supplier?
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

In a good internal control system, the proper approval of a payment to a supplier requires a matching of the receiving report, the supplier invoice, and the purchase order. This ensures that the goods or services were received, the price is accurate, and the purchase was authorized. A journal entry and a price catalog may be helpful but are not required. A bill of lading and the supplier's financial statements are not necessary for approving a payment to a supplier.

In a Good Internal Control System, Which of the Following