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5
Control over business transactions 
5.1 Office organisation 
There are a number of areas or functions to be administered and managed within a business. For 
example, the 'head office' of a business may cover the following areas: 

Purchasing 

Sales and marketing 

Human 
resources 

General 
administration 

Finance 
5.1.1 Purchasing 
Whether a business manufactures products or sells bought-in products, there will be a large purchasing 
function, either purchasing raw materials for manufacture or purchasing finished goods for resale. The 
function of the purchasing department will be to ensure that the business purchases from suppliers 
providing the best overall deal in terms of price, service, delivery time and quality. The purchasing 
department will also be responsible for ensuring that only necessary purchases are made by the 
business.
5.1.2 Human resources 
Any business that employs a significant number of people is likely to have a human resources function. 
This area of the office will be responsible for the hiring and firing of staff, for training of staff and for the 
general welfare of the employees.
5.1.3 Finance 
The finance function is also very wide ranging. On a day-to-day level the accounts department will deal 
with the sending invoices to customers, receiving invoices from suppliers, payment of suppliers, 
receiving money from customers and making other payments, such as purchases of non-current assets 
and payment of employees. The higher levels of management in the accounting function may also be 
responsible for management of the cash balances and for the overall financing of the organisation.
5.1.4 Sales and marketing 
The selling and marketing function will deal with all aspects of taking sales orders, advertising, and any 
sales personnel. 
5.1.5 General administration 
General administration functions are very wide ranging but might include secretarial support, dealing 
with telephone queries and arranging matters such as rent of properties.