An employee in a small company was responsible for preparing and making the deposits, recording the deposits in the company's books, and reconciling the bank statements. This situation is an example of:

Question

Quizplus · Accepted Answer

This situation represents a weak internal control because it lacks proper segregation of duties. One employee is responsible for three critical tasks that should ideally be handled by separate individuals to reduce the risk of errors or fraud.

An Employee in a Small Company Was Responsible for Preparing