What does the journal entry transaction require before it is posted?

The requirement for a manager's approval before posting a journal entry transaction is essential for maintaining robust internal controls within financial processes. This approval step helps ensure that all entries are reviewed by a qualified individual who can assess the accuracy and validity of the transaction.

Having a manager’s approval acts as a safeguard against potential errors or fraudulent activities by ensuring that a knowledgeable person has reviewed the details of the entry. This practice is critical in organizations that prioritize compliance and accuracy in their financial reporting. It aligns with best practices in accounting, which emphasize the importance of checks and balances in financial transactions.

While other processes like employee signatures, verification through a secondary system, or general approval to proceed may have their importance in different contexts, they do not specifically address the need for higher-level oversight that manager approval provides in relation to journal entries.