Cash Handling Questionnaire
Internal Control Questionnaire
Question Yes No N/A Remarks
Because of the relatively high risk associated with transactions
involving cash, universities should have a cash management program
to safeguard cash and ensure accurate reporting of this asset. An
essential element of control over cash is segregating among employees
the duties of handling cash, reconciling, and maintaining accounting
records.
Cash and Check Receipt Handling
1. For payments received by mail, is a mail log maintained by
hand in ink to prevent alteration that lists the date of receipt,
amount of check, etc.?
2. Is the mail log prepared by someone independent of the cash
receipts process?
3. Are checks stamped with a restrictive endorsement
immediately upon receipt - by the cashier before putting the
check in the cash drawer or by the person opening the mail?
4. Is cash counted and verified when cashiers receive their
drawers?
5. Is only one cashier able to access each cash drawer at any
given time so that cash will at all times be in the possession and
control of only one person?
6. Are cash drawers assigned to one person and not shared across
shifts / employees?
7. Is a receipt given for all transactions that are conducted in
person - whether by cash register or pre-numbered receipt?
Question Yes No N/A Remarks
8. Are duplicate copies of receipts retained?
9. Are manual receipts issued from a bound book that has pre-
numbered slips?
10. Are receipts issued in sequence?
11. Are receipt books regularly reviewed for missing receipt
numbers by someone other than a cashier?
12. Are voided pre-numbered documents kept in the bound receipt
book?
13. Is a change fund (this is apart from a petty cash fund) issued by
Financial Services used to make change for transactions?
14. If applicable, are cash register summary reports reconciled to
the cash count at the close of a shift?
15. Are the following cash register controls used:
a. Locked-in-totals?
b. Over- or under-ring vouchers signed by supervisor?
c. Voided copies of receipts retained for audit purposes?
d. Do cash register procedures reflect proper daily checkout and
documentation?
e. Are locked-in audit copies of receipts used where
appropriate?
f. Are cashiers provided separate cash drawers to establish
accountability?
g. Are cash drawers locked during a cashier’s absence?
Question Yes No N/A Remarks
Cash and Check Deposits
1. Are receipts recorded promptly and deposited within 24 hours
if greater than $500, or at least once weekly if less?
2. Are all funds received deposited with no funds being held back
for change, petty cash, etc.?
3. Are deposit slips prepared in at least duplicate form?
4. Do you use a either a locking bank bag or a sealing plastic
tamper proof bag for deposit?
5. Do two people accompany the departmental deposit from the
office to the nearest depository?
University and Departmental Policies and Procedures
1. Do you perform background checks and fingerprinting on all
new employees who handle cash?
2. Do all personnel who handle cash have access to, and
knowledge of, the applicable university policies?
3. Are departmental policies and procedures current and in
writing regarding how the department is to comply with
University requirements regarding the receipt, recording,
safeguarding, deposit, and reconciliation of receipts? (Receipts
include cash, checks, and credit card transactions.)
4. Do these policies and procedures support internal control?
Management Oversight and Reconciliation
1. Are cash funds periodically counted on a surprise basis by an
independent employee?
2. Are surprise cash counts documented?
Question Yes No N/A Remarks
3. Are all resulting discrepancies investigated and resolved by
departments, internal audit, General Counsel?
4. Are all cashier overages and shortages recorded in a log that is
regularly reviewed by BOMs?
5. Are cash overages and shortages recorded in the financial
system?
6. Does management investigate all substantial variations from
norms such as cash register voids, no sales, refunds, errors,
revenue levels, etc.?
7. Does someone independent of the cash receipts process
reconcile payment receipts to deposit slips on a daily basis?
8. Is the payment receipt to deposit reconciliation regularly
reviewed by management?
9. Does someone independent of the cash receipts process
reconcile payment receipts to receipt records (receipts, mail
log, cash register) on a daily basis?
10. Is the payment receipt to receipt record reconciliation regularly
reviewed by management?
11. Does someone independent of the cash receipt process
reconcile receipts records (receipts, mail log, cash register) to
the deposit slip?
12. Is the receipt record to deposit slip reconciliation regularly
reviewed by management?
13. Are visible indicators of management reviews (such as initials
and dates) evident on reconciliations and other reports?
14. Does internal control appear adequate for the cash receipts
system overall?
Question Yes No N/A Remarks
Safeguarding of Assets
1. Are adequate physical facilities such as a safe or locking
drawer provided for safeguarding cash?
2. Is cash always safeguarded when unattended – including end of
shift, lunch, bathroom breaks, etc.?
3. Are receipt books safeguarded when unattended?
4. Are safe combinations and keys to lockboxes restricted to a
minimum number of employees?
