CHAPTER 2
THEORETICAL FOUNDATION
services (Wilkinson et al. (2000, p. 469). The objectives within this broad
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purpose are:
1)To ensure that all merchandise and services are ordered as needed.
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2)To receive all ordered goods and verify that they are in good condition.
3)To safeguard goods until needed.
4)To
determine
that
invoices
pertaining
to
goods
and
services
are
valid
and
correct.
5)To record and classify the expenditures promptly and accurately.
6)To post obligations and cash disbursements to proper suppliers’ accounts in the
accounts payable ledger.
7)To ensure that all cash disbursements are related to authorized expenditures.
8)To record and classify cash disbursements promptly and accurately.
2.3.3.Documents related to EC
Similarly
with RC, the whole process in the EC consists of input, process, and
output stage. This process involves documents that are needed in the EC
operation. Wilkinson et al. (2000, p. 472) summarize the documents pertaining to
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the EC, which are:
1)Purchase
requisition:
the
initiating
form
in
the
EC
that
authorizes
the
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placement of an order for goods or services.
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