[Angela]

Becker has a following question:

Question CPA-05741.B

Which of the following describes a weakness in accounts payable procedures?

a. The accounts payable system compares the receiving report to the vendor invoice

b. The accounts payable clerk manually verifies arithmetic on the vendor invoice.

c. The accounts payable clerk files invoices and supporting documentation after payment.

d. The accounts payable manager issues purchase orders.

Choice ‘d” is correct.

I understand that D is the answer.But, C doesn’t look right to me. Should the A/P clerk file invoices and supporting doc BEFORE payment??? Someone help!!! Thanks!

Audit 92 2013
Far 80 2014
Reg: May 2014

[Jennifer241]

A/P clerk files the invoices AFTER payment, the check signers will review the invoice and sign the check, then give back the invoice to the A/P clerk to file.

If the A/P clerk filed the invoice before payment, then the check signer won't have the invoices to verify while signing the check.

AUD - Jan 9,13 Pass
REG - Aug 30,13 Pass
BEC - Oct 26,13 Pass
FAR - Dec 4,13 Pass

Licensed CPA in the state of Oregon

[littlenumberrobot]

Focus the right answer D (I find C confusing also because I get all caught up in the Treasurer defacing support after signing bla bla bla). If the AP manager was in charge of issuing AND authorizing PO's he/she could just create them for about anything and misuse that authority.

CA CPA - All because of the journey listed below
-----------------------------------------------------------------------
FAR - 53('10), 8/25/12 79 PASSED!
REG - 66('11), 69('12), 12/06/12 77 PASSED!!
BEC - 58('10), 74('12), 01/05/13 77 PASSED!!!
AUD - 43('11), 66('12), 69('13), 74('13) 7/29/13 85 PASSED!!!!!

(Combinations of Roger, Yaeger, Wiley Book, Wiley TB, & NINJA Notes)

Ethics 90%

[Angela]

@Jennifer241

Thank you so much! Now it makes sense.

Audit 92 2013
Far 80 2014
Reg: May 2014

[Angela]

@Jennifer241

Thank you so much! Now it makes sense.

Audit 92 2013
Far 80 2014
Reg: May 2014

[Angela]

@Jennifer241

Thank you so much! Now it makes sense.

Audit 92 2013
Far 80 2014
Reg: May 2014

[Angela]

@Jennifer241

Thank you so much! Now it makes sense.

Audit 92 2013
Far 80 2014
Reg: May 2014

[Angela]

@littlenumberrobot

That's the reason that I got confused too! Thanks!

Audit 92 2013
Far 80 2014
Reg: May 2014

[Author]

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