A is corrent because internal control is ordinarily subject to management override of controls— here requesting a check without adequate support. Such a situation is very difficult to control due to management’s authority.
B is incorrect because, with strong internal control, bank reconciliations can be performed on a timely basis, customer credit checks performed, and shipping document matched to sales invoices.
B is incorrect because, with strong internal control, bank reconciliations can be performed on a timely basis, customer credit checks performed, and shipping document matched to sales invoices.
D is incorrect because, with strong internal control, bank reconciliations can be performed on a timely basis, customer credit checks performed, and shipping document matched to sales invoices.
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