Cash Internal Controls Overview

In this presentation, we’re going to introduce the internal controls related specifically to cash, cash internal control goals, these are going to be the objectives of the internal control system over cash, we want to have the cash handling separate from the record keeping. So whoever is handling the cash, we would like to have them not be the same person doing the record keeping. And therefore we have that separation of duties. We have the person that is entering the data, not having as much of an incentive to steal the cash because they’re not the ones handling the cash, the people handling the cash, know that if they do steal it, the record keeping should pick that up, and they are a separate person. cash receipts are deposited to the bank. We want to make sure that the cash receipts are going to the bank as soon as possible, hopefully on a daily basis, so that we’re not actually emulating cash. We don’t want a cash to be piling up, because if it is then we have a greater risk of theft to happen and greater loss if that does happen.

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