The Receiving Clerk at Wattana Technologies Examines Incoming Shipments and Reconciles

question 98

Multiple Choice

The receiving clerk at Wattana Technologies examines incoming shipments and reconciles their contents with the relevant purchase orders.A receiving report is then sent to accounts receivable and the vendor's invoice is approved for payment.Which of the following would correct control weaknesses related to these activities?

• A)Accounts payable should reconcile the purchase order and the receiving report.
• B)The invoice should be approved for payment by the shipping clerk after the purchase order and receiving report are reconciled.
• C)Invoices,purchase orders,and receiving reports should be reconciled by the receiving clerk.
• D)Controls are adequate under the current system.

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Definitions:

Organizational Culture

The shared values, beliefs, norms, and practices that shape the social and psychological environment of a business organization, influencing how employees interact and work.

Long-Term Orientation

A cultural or organizational perspective that emphasizes planning and working towards future rewards and outcomes, rather than seeking immediate results.

HR Activities

Functions and tasks undertaken by the human resources department, including recruitment, training, performance management, and compensation.

Outsourcing

The practice of hiring external organizations or individuals to perform services or create goods that traditionally were performed in-house by the company's own employees and staff.