ACC 291T Week 2 Discussion

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ACC 291T Week 2 Discussion

Review the Discussion FAQs Module.

Respond to the following:

The A/P clerk of a company writes the checks for vendors, and the controller signs the checks. The A/P clerk has devised a plan to give herself a raise. She creates a new vendor for her friend’s business and creates two purchase orders for random car detailing services for $75 and $70. She writes the checks to pay these new vendors knowing the controller will only pay close attention to checks over $100. She delivers the checks to her friend to deposit in his bank account, and then he writes her a personal check for the full amount of $145.

Eventually, what will be the effect of her actions? What can the company do to prevent this type of behavior?