If the treasury and controller functions are independent,which of the following should be assigned to the controller to maintain effective control?
A) Approval of disbursements
B) Responsibility for check signing
C) Custody of short-term investment securities
D) Authorization of write-offs of accounts receivable

Question

Quizplus · Accepted Answer

If the treasury and controller functions are independent, it is important for the controller to maintain effective control by having the authority to approve disbursements. This includes ensuring that payments are made in accordance with budgetary and accounting rules, as well as verifying the validity of invoices and the accuracy of amounts paid. By having this responsibility, the controller can help to prevent fraud and ensure that the organization's financial resources are used appropriately. While the other choices may also be important for effective control, they are not as critical as the controller's responsibility for approving disbursements.

If the Treasury and Controller Functions Are Independent,which of the Following