西方财务会计课后题5-8答案.pdf

CHAPTER5 1. THEKNOWLEDGE THATJOBROTATION ISPRACTICEDAND THAT ONE EMPLOYEE MAY PERFORM ANOTHER’SJOBATA LATER DATE TENDSTODISCOURAGE DEVIATIONS FROM PRESCRIBED PROCEDURES.ALSO,ROTATION HELPSTODISCLOSEANY IRREGU LARITIESTHAT MAY OCCUR. 2. Authorizing complete control over a sequence of related operations by one individual presents opportunities for inefficiency, errors, and fraud. The control over a sequence of operations should be divided so that the work of each employee is automatically checked by another employee in the normal course of work. A system functioning in this manner helps prevent errors and inefficiency. Fraudisunlikelywithout collusionbetweentwoormore employees. 3. To reduce the possibility of errors and embezzlement, the functions of operations and accounting should be separated. Thus, one employee should not be responsible for handling cash receipts (operations) andmaintainingtheaccountsreceivablerecords(accounting). 4. No. Combining the responsibility for related operations, such as combining the functions of purchasing,receiving,and storing of supplies,increasesthepossibility oferrorsandfraud. 5. The control procedure requiring that responsibility for a sequence of related operations be divided among different persons is violated in this situation. This weakness in the internal control may permit irregularities.For example, the ticket seller,while acting as ticket taker, could admit friendswithout a ticket. 6. The responsibility for maintaining the accounting records should be separated from the responsibility for operationssothattheaccountingrecordscan serve asan independent check on operations. 7. The individual accounts receivable ledger accounts provide business managers information on the status of individual customer accounts,which isnecessary for managing collections.Managersneed