Internal Controls Essay Example | Topics and Well Written Essays - 250 words

Internal Controls - Essay ExampleThe accounting function should be given to an individual who does not have the custody of the collections (Meigs & Meigs, 1993). There is a possibility of the coping register and the record keeper working together to under-report the collections made, with a sharing of the pocketed amounts. They can work together to undermine the system. If the head usher were to count the collection in front of the other ushers, it could serve as a counter-verification of the collections. But here again there is a possibility of the head usher working together with the other ushers to pocket some money. In fact the Rector of the Church should be present when the ushers gather together, give their give collections to the head usher and then the total money is put together and counted. The installation of a surveillance camera in the basement room in secret, and another on the way down at a strategic point should be accomplished without anyones knowledge except for the Rector of the Church. some other loophole is available because the Church asks all check contributors to make their checks payable to Cash. This amounts to giving a chance to anyone who pockets a check to cash the money without being detected.