Which of the following is not a control that should be established for purchases of equipment? A)Establishing a budget for capital acquisitions. B)Requiring that the department that ordered the equipment is the same that requested the equipment. C)Requiring that the receiving department receive the equipment. D)Establishing an accounting policy regarding the minimum dollar amount of purchase that will be considered for capitalization.

Question

Quizplus · Accepted Answer

Requiring that the department that ordered the equipment is the same that requested the equipment does not provide a control over the purchase of equipment. It is not a relevant factor in ensuring that the purchase is necessary, authorized, or properly recorded. The other options (A, C, and D) establish important controls that help ensure that capital acquisitions are properly planned, authorized, and recorded.

Which of the Following Is not a Control That Should