ACT 205 Chapter Notes - Chapter 4.3: Cash Cash, Debit Card
Document Summary
10:43 am: open mail each day and make a list of checks received. Including the amount and payer"s name: designate an employee to deposit cash and checks into the company bank account each day. *different from the person who receives cash and checks: have another employee record cash receipts in the accounting records asap. Verify cash receipts by comparing the bank deposit slip with the accounting records: accept credit cards and debit cards, limit the amount of cash employees handle. Common controls over cash disbursements: make all disbursements by check, debit card, or credit card. This provides a permanent record of all disbursements: authorize all expenditures before purchase and verify the accuracy of the purchase itself. The employee who authorizes payment should not also prepare the check: make sure checks are serially numbered and signed only by authorized employees. There should be 2 signatures for large checks: agree amounts shown in the debit and credit care statements against purchase receipts.
