One of the ways to prevent the use of fictitious suppliers to steal company funds is to
A) have adequate network access controls to prevent unauthorized access to transaction files.
B) ensure that accounts payable programs are available only in source code.
C) establish controls to establish only approved vendors.
D) reconcile the accounts payable trial balance to the general ledger.

Question

Quizplus · Accepted Answer

By establishing controls to approve vendors, the company can ensure that fictitious suppliers are not created and payments are only made to legitimate and approved vendors. This can include verifying vendor information and conducting background checks. While adequate network access controls, source code availability, and account reconciliation can also be effective control measures, they do not directly address the issue of fictitious suppliers.

One of the Ways to Prevent the Use of Fictitious