Assignment Internal Cash Control Essay

The weaknesses in the infixed hinder up on over property disbursements are, in that respect should be lonesome(prenominal) angiotensin converting enzyme person in charge of create verb everyy the regresss for each task, and thither should be numbered checks for both people so that the notes spend screw be tracked easier, the cabinets were the checks are stored should be both locked cabinets, one for each person who writes the checks. Memo I would recommend that to apply a better control over money paid and items purchased, that you light having numbered checks in two separate accounts, one account for the treasurer and one account for the purchasing agent.This method bequeath score it easier for moth parties to avoid mistakes, and it will also be easier to put forward money spent and received. P4-1A The internal control principles implemented by the Guard Dog Comp whatever are, numbered checks so that the caller-out has a number trail to monitor cash dispersment. Ea ch check must run through approval from Jane Bell, and Dennis Kurt before a check tail assembly be issued, this is an establishment of responsibility to ensure that not just anyone ion the lodge can write checks.Checks must be signed by every Tom Kimball, the treasurer, or Karen Thews, the assistant treasurer. Before signing a check, the signatory is expected to compare the summates of the check with the amounts on the invoice, this is also a division of establishment of responsibility and both of these procedures are a use of backing procedures. After signing a check, the signer stamps the invoice paid and inserts inwardly the stamp, the date, check number, and amount of the check. The paid invoice is then sent to the be department for recording.By doing this it is a centering of confirmatory ships company cash dispersment and documentation control. Blank checks are stored in a harmless in the treasurers office. The combination to the safe is known by only the treasurer and assistant treasurer. By locking the checks in a safe it establishes responsibility for the checks, and uses a Physical, mechanical, and electronic controls to narrow down any check problems to one source. Each month the buzzword statement is reconciled with the bank balance per books by the assistant chief accountant.By doing this it establishes document control, this charge any discrepancies in the amount paid can be verified. advise the weaknesses in internal accounting control in the handling of collections. The weaknesses in the handling of collections are the way the money is deposited, the way the checks are do out and the way the money is verified and deposited. P4-2A List the improvements in internal control procedures that you plan to make at the next meeting of the take stock team for (1) the ostiariuss, (2) the dot usher, (3) the financial depositary, and (4) the finance committee.The improvements the ushers need to make is that after(prenominal) each offerin g they should individually count their own collected baskets and enter there amount in an offering pound book, so that there is less room for error in the next step. By handing all the baskets to the head usher without counting the money themselves, the head usher can offer any amount on his final deposit. The improvements the head usher needs to make is to make sure that each usher counts their baskets, and that the head usher counts all the baskets and checks for discrepancies to make sure that no one is pocketing any money.The head usher should also check the amount given to him/her against what is create verbally in the offering log. Have a book to log the amount of money that is put into the safe so that it is logged in a way that can be verified by the committee, a note is not a safe method because it can be thrown out, by logging in a book it is easier to find were the discrepancies came from. The improvements the financial depository should make is that he/she should hav e a aliveness down of what needs to be paid and make a log of the amounts that need paid and to make sure the receipts are logged along with whatever bills or serve that needed to be paid that week.The financial secretary should also asseverate the amount of money in the safe against the log that is kept by the ushers. The financial committee should show a more detailed list of what disbursements are needed each month so that the financial secretary knows what is needed for payment that month. They should also be involved in verifying the performes income. To improve internal control the church should have a log for money received during offerings, they should tell the congregation to make the checks payable to the church or to the account holder that the checks are deposited into, because anyone can cash a check made out to cash.The church should also verify that any money not deposited from the offering was spent properly and not used for personal things. Include how a compa ny could use the five-spot basic principles of cash management to increase accuracy for a line of business. A company can increase the collection of receivables by offering incentives for busy payment from their customers. A company can delay the payment of liabilities and bills to shutting to the due date of the liability or bill, so that if any expenditure is needed before the due date they will not have spent the money too early.A company can keep inventory low on the merchandise that does not sell quickly, so that the company has money for the merchandise that is popular and selling fast. A company that wish to expand should wait until they have excess money in a slow season so that they can expand their business and have new locations open in time for their busy season. A company should invest money that is sitting idle into low peril companies, the most common form of liquid investments is interest-paying U. S. government securities.