Question

Internal control procedures surrounding payment of bills includes ______

a) Segregation of duties, verification, and authorization

b) Review by top management, electronic payments, and reconciliation

c) Supplier evaluation, electronic funds transfer, and reconciliation

d) Segregation of duties, verification, and supplier evaluation

Answer 1

The correct answer is a) Segregation of duties, verification, and authorization. Internal control procedures surrounding payment of bills involve several measures to ensure accuracy and prevent fraud.

Step-by-step explanation:

The correct answer is a) Segregation of duties, verification, and authorization.

Internal control procedures surrounding payment of bills involve several measures to ensure accuracy and prevent fraud. Segregation of duties refers to separating the responsibilities of recordkeeping, verification, and authorization among different employees to reduce the risk of errors or fraudulent activities. Verification involves verifying the accuracy and legitimacy of invoices, bills, and payment requests before processing them. Authorization ensures that only authorized individuals have the authority to approve and initiate payments.