Management and Organizational Studies 3363A/B Chapter Notes - Chapter 13: Purchase Order, Trial Balance, Internal Control

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 3363A/B
• Professor: Michelle Loveland

Document Summary

Chapter 13 audit of the acquisition and payment cycle. The four business functions and their documents and records. Processing purchase orders: refers the request of goods and services by the client, common documents include purchase requisition and purchase order, purchase requisitions, employees request products to be purchased by company, this is an internal document. In-class example: employee needs pens, so they requests the purchasing department to purchase them: purchase order, a document used to order goods and services from vendors. Includes description, quantity, and related information for goods and services the company intends to purchase: often submitted electronically. In-class example: when shopping on sephora, purchase order is received when you check out and receive an email immediately telling you what you ordered. Receiving goods and services: this is when most companies first recognize the acquisition, receiving report is prepared at the time the goods are received.