Her argument is that someone needs to print off the pcard transaction log each month and sign it as proof of "approval to pay". My argument is that there is no value in such an activity as the person has no idea whether the things have been received or not and truly is doing nothing more than rubber stamping the log. My contention is that the management is approving payment when they approve the order. They are approving the expenditure of company funds at that time and the need to print a transaction log and sign it is non-value added.
Now... the question may arise of "how would you ever know if the supplier wasn't adding charges to the card against orders that were never officially made?". And to be honest I don't have a great answer to that other than 1) it is low dollar transactions, 2) there has to be some level of trust in a relationship, and 3) periodic audits, while maybe not as thorough, would eventually catch such a thing if it did occur and require much less tactical time from an employee.
Thoughts? I'm not an accountant so do not know how this relates to GAAP but would guess that GAAP doesn't go into such detail.