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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › June 2012 exam
Hi sir for june 2012 exam question 1a) the deficiency regarding the purchase requisitions being authorised by the production supervisors .
In the answer key they states that the production supervisors are not sufficiently independent or senior enough to authorise capital expenditure.
What do they mean by the production supervisors are not independent ? Do they mean that the requisition forms should be completed by the production supervisor but should be authorised and signed by the production manager or director.
How is this different from june 2015 exam question 4 ?
What do they mean by the production supervisors are not independent and senior enough * ?
Usually capital expemditure requires authorisation from swnior levels. It is relatively rare, can be large and represwnts a cash outflow that is not normally quickly reversible.