For effective internal control purposes, the vouchers payable department generally should:
A) obliterate the quantity ordered on the receiving department copy of the purchase order.
B) stamp, perforate, or otherwise cancel supporting documentation after payment is mailed.
C) establish the agreement of the vendor's invoice with the receiving report and purchase order.
D) ascertain that each requisition is approved as to price, quantity, and quality by an authorized employee.

Question

Quizplus · Accepted Answer

Establishing the agreement of the vendor's invoice with the receiving report and purchase order ensures that the payment is authorized and correct. Obliterating the quantity ordered on the receiving department copy of the purchase order (option A) could lead to discrepancies and fraud, while stamping or canceling the documentation after payment (option B) may not prevent duplicate payments or incorrect payments. Ensuring that each requisition is approved (option D) is important, but it is not specific to the vouchers payable department's internal controls.

For Effective Internal Control Purposes, the Vouchers Payable Department Generally