Indicate whether each of the following statements regarding internal controls is true or false.
-Under proper internal controls, the person who collects customer payments should also maintain the accounting records of cash receipts

Question

Quizplus · Accepted Answer

It is important to have segregation of duties in internal controls. The person who collects customer payments should not also maintain the accounting records of cash receipts, as this increases the risk of fraud or errors. These duties should be separated to ensure proper checks and balances.

Indicate Whether Each of the Following Statements Regarding Internal Controls