2hooward Street Jewelers Case

Satisfactory Essays
Case # 5: CASE 3.2Howard Street Jewelers, Inc
Auditing problems:
1. The company dose not segregate the duty.
In this case, Betty perform multiple duties as cash register and sales clerk. So she can handled all of the cash that came into the business and maintained the cash receipts and sales records. However, in order to prevent fraud and error, segregation of duties is a basic building block of sustainable risk management and internal controls for a business. The company should disperses the critical process of sales and cash to more than one person.
2. The company lake of internal control.
Internal control system of an entity is strictly interrelated to the structure used by management to oversee the activities of the organization. However,
Get Access