Page 75 - Auditinf Electronic System

a) purchase requisition: is used to request goods and services by an authorized
employee

b) purchase order: is a document used to order goods and services from
vendors. It includes the description, quantity, and related information for
goods and services the company intends to purchase

When goods are received, adequate control requires examination for description,
quantity, timely arrival, and condition

2. Receiving Goods and Services:
The receipt by the company of goods or services from the vendor is a critical point
in the cycle because it is when most companies first recognize the acquisition and
related liability on their records requires examination for description, quantity,
timely arrival, and condition:

a) receiving report: is a paper or electronic document prepared at the time goods
are received. It includes a description of the goods, the quantity received,
the date received, and other relevant data.

3. Recognizing the liability Goods and Services:

The proper recognition of the liability for the receipt of goods and services
requires prompt and accurate recording. The initial recording affects the
financial statements and the actual cash disbursement; therefore, companies must
take care to include all acquisition transactions, only acquisitions that occurred,
and at the correct amounts.it is when most companies first recognize the
acquisition and related liability on their records (where actual recording begins)
includes several documents

a) vendor’s invoice: is a document received from the vendor and shows the
amount owed for an acquisition

b) debit memo: a document received from the vendor and indicates a reduction
in the amount owed to a vendor because of returned goods or an allowance
granted

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‫جميع الحقوق محفوظة ـ الإعتداء على حق المؤلف بالنسخ أو الطباعة يعرض فاعله للمسائلة القانونية‬