All of the following are important controls over credit memos except:
A)proper segregation of duties to ensure that sales discounts taken were earned.
B)credit memos should be approved by someone other than whoever initiated it.
C)credit memos should be supported by a receiving document for returned goods.
D)proper segregation of duties between access to customer records and authorising credit memos.

Question

Quizplus · Accepted Answer

While proper segregation of duties is an important control, it is not specifically related to credit memos. The other choices all relate to controls over credit memos: ensuring approval by someone other than the initiator, requiring supporting documentation for returned goods, and implementing proper segregation of duties between accessing customer records and authorizing credit memos.

All of the Following Are Important Controls Over Credit Memos