MGMT 1A Lecture Notes - Lecture 10: Money Market Fund, Bank Reconciliation, Financial Statement
Document Summary
Mgmt 1a lecture 10 notes - internal costs and bank reconciliation. Cash includes : currency, coins, money in the bank, personal checks. Cash equivalents include: t-bills, money market funds (easily converted into cash) Internal controls: objectives of internal controls i. Internal control components b. i. ii. iii. iv. v. If it was handled quietly, no one will know what exactly went on, other people might think they can get away with it and perform the crime too b: bank reconciliation a. Items bank included/deducted and we didn"t b: go down the list and ask who doesn"t know about it? i. ii. If we don"t know about it, it goes on our side, the books. If the bank doesn"t know about it, it goes on their side. The difference between the two sides is , normally if it"s only 55, then it doesn"t really matter. However, if it is ,000 then it would be a huge issue.
