Key Segregation of Duties in the Purchasing Process Flashcards Preview

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Flashcards in Key Segregation of Duties in the Purchasing Process Deck (8)
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1

Preparation and approval of purchase order

Purchasing Department

2

Receipt, counting, and inspection of purchased materials

Receiving Department

3

Receipt of vendor invoices and matching them with supporting documents

Accounts Payable

4

Coding (or checking) of account distributions

Accounts Payable

5

Updating of accounts payable records

Accounts Payable

6

Signing and mailing of vendor checks

Cashier

7

Reconciliation of voucher register to general ledger

Accounts Payable

8

Four key segregation of duties functions in the purchasing process.

1. The purchasing function should be segregated from the requisitioning and receiving functions.
2. The invoice-processing function should be segregated from the accounts payable function.
3. The disbursement function should be segregated from the accounts payable function.
4. The accounts payable function should be segregated from the general ledger function.