Problem 1. Internal Control Paper
The following are the procedures for Accounts Payable for Jamona.com:
RECEIPT OF INVOICE FOR PAYMENT
Office Manager
Receives invoice in mail
Routes invoice to Accounts Payable
Accounts Payable
Reviews invoice
Codes for proper expense account
Enters account payable into accounting system
Prints check
Signs check
Mails check to vendor
Files invoice
RECEIPT OF BANK STATEMENTS
Office Manager
Receives bank statement, canceled checks
Accounts for numerical sequence of checks
Files checks in numerical sequence
Routes bank statement to Accounts Payable
Accounts Payable
Reconciles bank statement
Write a 1,500-2000 -word paper in which you do the following:
a. Assess the strengths and weaknesses of Jamona.com's internal controls
b. Recommend additional controls to cover the weaknesses
c. Discuss and identify all of the controls (recommended and existing), identifying each control as preventive, detective, or corrective.