Explain cash control procedures and identify internal control weaknesses 1 There are a number of procedures that a firm may employ to safeguard cash. These procedures are known as cash control...

Explain cash control procedures and identify internal control weaknesses 1 There are a number of procedures that a firm may employ to safeguard cash. These procedures are known as cash control procedures. List five examples of cash control procedures and explain their function. Follow the example given below: Cash control procedure Function Physical safeguards over cash, such as a safe To help protect the unbanked cash overnight until it can be banked the next day 2 Identify the internal control weaknesses in the following two cases and suggest a way of improving each situation. a A supplier was paid twice for the same shipment. One payment was made upon receipt of the invoice and the second payment upon receipt of the monthly statement. The first payment was not listed on the statement, as it arrived after the statement date. b The cashier pocketed cash he received over the counter from a few customers who had paid their accounts. The cashier then wrote the accounts receivable off as uncollectable.