If only one person is authorized to approve, sign, and record the checks, then the organization is leaving itself open to theft. These duties must be separated, with one person approving expen- ditures, another signing the checks, and still another recording the transactions. In the account- ing world, this is called separation of duties. The organization should also employ supporting documentation, and each check should be required to have an authorized approval signature.
Checking Accounts A signature card should be on hand at the bank, and it should show the bank account number
and the signatures of the people authorized to sign checks on the account. There should also be a deposit ticket containing the account number and the amount and number of checks written on the account. Copies of the deposit ticket should be kept.