For the following situation, state whether it represents a strength or weakness in internal control and give the reason for your answer

Baker Auto Supply purchases merchandise inventory from A & B Company

The accountant places the order, verifies receipt of the merchandise, and records the transaction in the general journal.
What will be an ideal response


Weakness
There is a weakness in the separation of duties. The employee who purchases the goods should not receive the goods. In addition, the person who records the transactions should not have custody of the goods. The accountant could steal some of the items and then show that the invoice should be paid in full.

Business

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Business