Supplement - Procedures to Guarantee Accuracy

Question 1

What is the first step for Procedure?

Answer 1

Preparation of monthly financial reports.

Question 2

What is the Second step for Procedure?

Answer 2

Distribution of invoices to asset or expense accounts.

Question 3

What is the Third step for Procedure?

Answer 3

Year-end financial reports.

Question 4

What is the Fourth step for Procedure?

Answer 4

Daily routines carried out by employees.

Question 5

What is the Fifth step for Procedure?

Answer 5

Entering of amounts owing to the company or by the company.

Question 6

What is the Sixth step for Procedure?

Answer 6

Bookkeeping records.

Question 7

What is the first step for Control?

Answer 7

Checked against budget amounts and anticipated percentages.

Question 8

What is the Second step for Control?

Answer 8

Allocated by a senior employee in charge of bookkeeping department.

Question 9

What is the Third step for Control?

Answer 9

Audit by company auditors and report to shareholders and directors.

Question 10

What is the Fourth step for Control?

Answer 10

Setting up checks and balances so that the work of one person checks and verifies the work of another.

Question 11

What is the Fifth step for Control?

Answer 11

Monthly detailed reports of Accounts Receivable and Accounts Payable.

Question 12

What is the Sixth step for Control?

Answer 12

All records kept up-to-date and entered on a daily basis, with procedures to produce monthly reports on a timely basis.