which of the following is not a reason why paying by check is an important internal control?\na. the check…

which of the following is not a reason why paying by check is an important internal control?\na. the check provides a record of the payment\nb. the check must be signed by an authorized official\nc. before signing the check, the purchasing agent reviews the invoice or other evidence supporting the payment\nd. all of the above statements are correct.

which of the following is not a reason why paying by check is an important internal control?\na. the check provides a record of the payment\nb. the check must be signed by an authorized official\nc. before signing the check, the purchasing agent reviews the invoice or other evidence supporting the payment\nd. all of the above statements are correct.

Answer

Brief Explanations:

  • Option A: Checks serve as a written record of payments, which is crucial for internal control as it allows for auditing and tracking of financial transactions.
  • Option B: Requiring an authorized official's signature on a check ensures that there is a level of approval and accountability for the payment.
  • Option C: Having the purchasing agent review invoices or supporting evidence before signing a check helps verify the legitimacy of the payment, which is an important internal - control measure.

Since all of the statements (A, B, and C) are valid reasons for why paying by check is an important internal control, option D is correct.

Answer:

D. All of the above statements are correct.