QUESTION

Komes Ltd, a medium sized retailer of solar lights has implemented the following control activities to address risks that they face in the various business cycles.

a) 

To gain access to the

warehouse, warehouse employees must place their thumb on a biometric reader. If

the thumbprint is authorised, the turnstile is activated.     

b) 

Inventory cycle

counts are conducted on different sections of the warehouse at the end of every

month.

c) 

To effect monthly

payments to creditors by electronic funds transfer, both the financial

accountant and the financial director must enter their unique passwords before

the payment will be transferred.

d) 

The purchase

application software will not produce a purchase order unless the order is made

out to a supplier on the approved supplier Masterfile.

REQUIRED

Match the internal control procedure to the relevant risk that it mitigates. (6)