US CMA Part 1 · Chapter 5 · Question 3 of 23
Which combination of duties for a single employee represents the most serious weakness in segregation of duties?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Receiving customer cash payments and posting entries to the accounts receivable ledger
Explanation
Effective segregation separates authorization, custody of assets and recording. An employee who both handles cash and records receivables could steal receipts and conceal the theft by altering customer accounts (lapping or false credits).
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