Bank reconciliations and cash receipts


Problem:

One of my former clients had 11 employees in total; President, Controller/Treasurer, VP of Claims, VP of Underwriting, Asst. Controller/Treasurer, AP clerk, AR clerk and then 4 office staff personnel. Do you think its possible for segregations of duties to exist when there are only 4 people in the Accounting/Finance department at this Company? Explain.

If yes, please discuss who would be responsible for doing bank reconciliations, cash receipts, actually depositing the cash at the bank, and cash disbursements for invoices due and who would be responsible for reviewing the work.

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Accounting Basics: Bank reconciliations and cash receipts
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