PART II - Preaudit Steps
- Prepayments are considered a standard business practice for the following types of transactions:
- Memberships and Subscriptions
- Registration Fees
- Insurance Premiums
- Payments to governmental units
- Required deposits
- Other prepayments may be acceptable when it is cost beneficial to the UW System. The location, reputation and other characteristics of the vendor should be taken into consideration when making prepayments as it may have a bearing on the UW System's ability to recover the payment if the vendor defaults in delivery of the supply or service.