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Which internal control procedure is followed when management authorizes the purchasing department to order goods and services for the company?

a. Proper authorizations
b. Independent verifications
c. Safeguarding of assets and records
d. Segregation of duties

1 Answer

6 votes

Final answer:

Management authorizes the purchasing department to order goods and services for the company through proper authorizations. This ensures purchases are made in accordance with company policies.

Step-by-step explanation:

The correct internal control procedure that is followed when management authorizes the purchasing department to order goods and services for the company is proper authorizations. This means that management sets guidelines for when and how purchasing should occur, and they authorize specific individuals within the purchasing department to carry out these orders. By having proper authorizations in place, it ensures that purchases are made in accordance with company policies and that the purchasing department does not overstep its bounds in terms of order placement and spending limits.

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