Question

In a strong system of internal control, which employee should be the one to verify cash count sheets, prepare deposit slips, and take the cash to the bank?

1) Cashier
2) Accountant
3) Manager
4) Security Guard

Answer 1

In a strong internal control system, the 3. manager is the ideal employee to verify cash count sheets, prepare deposit slips, and take cash to the bank.

Step-by-step explanation:

In a strong system of internal control, the employee responsible for verifying cash count sheets, preparing deposit slips, and taking the cash to the bank should not be the cashier, but rather the manager. This separation of duties ensures that the same person who handles cash transactions (the cashier) is not also responsible for verifying the cash and depositing it, which can prevent theft and errors. The manager, having oversight and no direct handling of the transactional cash, can perform these duties with less risk of a conflict of interest. Therefore, the correct answer is 3) Manager.

As the primary individual responsible for handling cash transactions, the cashier is in the best position to perform these tasks. They are directly involved in handling cash on a day-to-day basis and have the most accurate and up-to-date information on the cash count.

Additionally, having the cashier perform these tasks helps to establish a separation of duties in the internal control system. Each employee has a specific role that acts as a check and balance on the others. This reduces the risk of fraud or errors and increases accountability.