
The following is a process that makes up the purchasing system at Alex Manufacturing Ltd.
For this process, select whether it represents a Big Strength, Big Deficiency, Small Impact or No Impact on the purchasing system.
- Payments are made by direct transfer. The direct transfer list is authorised by the financial controller, who checks the payments t o supporting documents, such as the invoice or service agreement.
Select ONE answer:
- No Impact
- Big Strength
- Small Impact
- Big Deficiency
Show your workings to arrive at your answer, and explain and justify your reasons:
……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………
This multiple-choice question is suitable for Accounting KS5 classes.
The answer is 2
- Not correct
- Correct ==> Strength – payments authorised
- Not correct
- Not correct

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