Allowing the employee who authorizes purchases to also prepare the check is an example of good internal control.
A single employee should not perform both of these tasks.

Question

Quizplus · Accepted Answer

Allowing one employee to both authorize purchases and prepare checks creates a conflict of interest and increases the risk of fraud. Separation of duties is a key principle of internal controls to ensure accountability and reduce the risks of errors and fraudulent activity. As such, the employee who authorizes purchases should not also be responsible for issuing payments.

Allowing the Employee Who Authorizes Purchases to Also Prepare the Check