The sales department administrative assistant has been assigning phone order sales to her brother-in-law,a company sales person.Company policy is to pay commissions only on orders directly received by sales people,not on orders received over the phone.The resulting fraudulent commission payments might best have been prevented by requiring that
A)sales commission statements be supported by sales order forms signed by the customer and approved by the sales manager.
B)sales order forms be prenumbered and accounted for by the sales department manager.
C)sales orders and commission statements be approved by the accounting department.
D)disbursement vouchers for commission payments be reviewed by the internal audit department and compared to sales commission statements and sales orders.

Question

Quizplus · Accepted Answer

Requiring sales commission statements to be supported by sales order forms signed by the customer and approved by the sales manager would ensure that commissions are only paid on orders received directly by salespeople rather than orders received over the phone by someone else. This would provide a crucial control and prevention measure against fraudulent commission payments.

The Sales Department Administrative Assistant Has Been Assigning Phone Order