Question

According to the textbook, the best way for an organization to prevent fraudulent register disbursements is to?

1) Have each employee compare the cash in his or her register drawer to the register tape at the end of each shift.
2) Maintain appropriate separation of duties.
3) Have a policy requiring photocopied receipts for sales refunds.
4) All of the above

Answer 1

4) All of the above. The best way for an organization to prevent fraudulent register disbursements is to follow all of the above techniques mentioned in the options: comparing cash to register tape, maintaining separation of duties, and requiring photocopied receipts for sales refunds.

Step-by-step explanation:

The best way for an organization to prevent fraudulent register disbursements is to follow all of the above techniques mentioned in the options. These techniques include:

1. Having each employee compare the cash in their register drawer to the register tape at the end of each shift. This ensures that any discrepancies can be identified and addressed immediately.
2. Maintaining appropriate separation of duties. This means that different employees should be responsible for handling cash, recording transactions, and reconciling accounts. This helps to prevent collusion and increases accountability.
3. Having a policy requiring photocopied receipts for sales refunds. This ensures that there is documentation for all refunds and reduces the likelihood of fraudulent refund transactions.

By implementing all of these techniques, an organization can significantly reduce the risk of fraudulent register disbursements.