Internal Controls for Accounts Payable in the Modern Electric World

Author: Robert K Minniti

Creating good cost-effective internal controls over accounts payable is more subjective than other accounting areas. There is no “one size fits all” set of internal controls. New payment methods including cryptocurrencies, ap based payments, gift cards, etc. have increased risks for payment fraud. The FTC reported an 18% increase in payment fraud for 2023. The Federal Reserve Reported a significant increase in noncash payments over the last decade, and the ACFE reports check and payment tampering schemes have the highest losses of the various asset misappropriation fraud schemes. This course reviews the COSO Framework for Internal Control and discusses developing and reviewing internal controls for the accounts payable process. We will discuss using data analytics and artificial intelligence to help identify and prevent fraud losses in accounts payable.

Publication Date: August 2025

Designed For
This course is appropriate for staff accountants, CPAs, CMAs, MAFFs, CFFs, CGMAs, internal auditors, CIAs, external auditors, managers, CFOs and others responsible for the accounts payable process.

Topics Covered

• Fraud Risks & Internal Controls
• Review of the Financial Statement Assertions
• Types of Electronic Payments
• Accounts Payable Fraud Risks
• Internal Controls
• Evaluating Internal Controls

Learning Objectives

• Identify the COSO Framework for Internal Control
• Identify internal controls for accounts payable
• Identify best practices in an electronic payment world
• Identify the need for internal controls for accounts payable
• Identify the electronic payment method that had the highest losses in 2024
• Identify the percentage of companies in 2024 that reported actual or attempted payment fraud

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Accounting (2 hours)

Program Prerequisites
None

Advance Preparation
None