Business, 12.02.2020 01:55 gudtavosanchez19

Below are descriptions of internal control problems. In the space to the left of each item, enter the code letter of the one best internal control principle that is related to the problem described.

Internal Control Principles
A. Establishment of responsibility
B. Segregation of duties
C. Physical control devices
D. Documentation procedures
E. Independent internal verification
F. Human resource controls

1. The same person opens incoming mail and posts the accounts receivable subsidiary ledger. Below are descriptions of internal control problemFACBDE
2. Three people handle cash sales from the same cash register drawer. Below are descriptions of internal control problemEBCDFA
3. A clothing store is experiencing a high level of inventory shortages because people try on clothing and walk out of the store without paying for the merchandise. Below are descriptions of internal control problemAEBCDF
4. The person who is authorized to sign checks approves purchase orders for payment. Below are descriptions of internal control problemFDABCE
5. Some cash payments are not recorded because checks are not prenumbered. Below are descriptions of internal control problemEFABDC
6. Cash shortages are not discovered because there are no daily cash counts by supervisors. Below are descriptions of internal control problemFDAEBC
7. The treasurer of the company has not taken a vacation for over 20 years. Below are descriptions of internal control problemEABCDF

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Below are descriptions of internal control problems. In the space to the left of each item, enter th...

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