7/28/2019 Agreed Upon Procedures (Findings)
1/2
Hello people! Mao ni siya akong ignorant assessment! Please ko
check if naa ba siyay reasonable basis.
Uhm. Phoebe and Odessa, ang naai quotes kay inyu na work. And
BOLD kay mga dugang nako:)
Tan.awa daw if sakto and then I revise dayun inyo work kay murag
lahi ta ug word nga ki.gamit. Hehe.
The internal control of bank reconciliation is not being
implemented properly. An interview with the
Finance manager revealed that they failed to consistently
perform bank reconciliations.
The internal control of bank reconciliation is not being
implemented properly. An inquiry with the
Finance manager and other members of the company revealed that
they failed to consistently
perform bank reconciliations. This, as a result, suggests that
theres likely a misstatement of the
balance of the general cash account which appears a significant
red light.
The automatic update of the inventory whenever a transaction
occurs could be considered as a
compensating control.
What kind of automatic update is being referred here? RFID? BAR
CODE? Automatic update of inventory
kay muexist rana ciya in the perpetual system environment, and
Im sure nga wala sila nagemploy ana
kay cost constraints So ang statement dapat ana kay: The active
involvement of the Operations
Manager in monitoring abrupt changes in inventory level whenever
a transaction occurs (be it a sale
or a purchase) could be considered as a compensating
control.
1. In purchase transactions, the Finance manager and Operations
manager purchase together. This
setup is an effective control over the purchasing process.
Operations manager lists the items to be
bought with the corresponding prices and then Finance manager
records.Also, since the Operations
Manager receives the goods, the authorization (general manager),
accounting (finance
manager) and custody of goods (operations managers) are quite
properly segregated hence
the basis of our fair assessment mentioned above.
2. We could not also say that there is an improper segregation
of duties here since Operations managers
records should coincide with Finance managers records. And
Finance manager must ask General
Managers authorization before withdrawing for the purchase.
1. Based on our inquiry with management, the petty cash
custodian is the Finance Manager and atthe same time, she is the
one that makes the minor disbursements and records such. This
situation
suggests an improper segregation of duties since the one who is
in charge of the recording or
accounting function should not be the same person as the one who
has the custody of the asset.
Hence, Finance Manager, be her as the one in charge of the
custody of the petty cash, should not be
entrusted anymore of the recording of minor disbursements as
suggested above and the recording of
the replenishment in case the petty cash runs low.
