Examples of Internal Control

1. Goods are inspected on arrival in the factory

2. Purchases are made only from authorized vendors / suppliers

3. Sales invoices should be sequentially pre-numbered & approved by authorized person.

4. Cash must be timely banked when received to minimize the risk of Theft / misappropriation of cash.

5. Timely reconciliation between physical cash and cash as per general ledger must be done

6. Timely reconciliation between physical stock and stock as per general ledger must be done

7. When goods are dispatched from the factory a document named Goods Dispatched Note must be prepared.

8. When goods are received from the factory a document named Goods Received Note must be prepared.