Posted: April 10th, 2021

The following control procedures are used in kelton company for

The following control procedures are used in Kelton Company for over-the-counter cash receipts.

(a) For each procedure, explain the weakness in internal control and identify the control principle that is violated.





Principle Violated

1.   Each store manager is responsible for interviewing applicants for cashier jobs. They are hired if they seem honest and trustworthy.    
2.   All over-the-counter receipts are registered by three clerks who share a cash register with a single cash drawer.    
3.   To minimize the risk of robbery, cash in excess of $100 is stored in an unlocked attaché case in the stock room until it is deposited in the bank.    
4.   At the end of each day the total receipts are counted by the cashier on duty and reconciled to the cash register total.    
5.   The company accountant makes the bank deposit and then records the day’s receipts.    

Expert paper writers are just a few clicks away

Place an order in 3 easy steps. Takes less than 5 mins.

Calculate the price of your order

You will get a personal manager and a discount.
We'll send you the first draft for approval by at
Total price: