Acc 556 Week One Memo

1179 Words Jul 5th, 2012 5 Pages
Internal Accountant’s Report to Management
Jacqueline Tate-Tafoya
June 18, 2012
Laurie McBroom

MEMORANDUM TO: Management, JTT Accounting Firm FROM: Jacqueline Tate-Tafoya, CPA
DATE: June 18, 2012 SUBJECT: Internal Accountant’s Report Per management’s request this document has been prepared to assist in determining if a full financial status review of the recent job bid is necessary. Fully understanding and preparing for possible issues is vital to our organization’s success. Several key points and issues should be reviewed prior to entering into any contracts. The following information will be discussed in this memo: 1.) The impact of occupational fraud and abuse on the company, 2.) U.S.
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241). Bribery can come in many different forms but generally is defined as an act in which something of value is offered, given, received or solicited with the intent of influencing an official act. Illegal gratuities can be similar to bribes except these are usually given as a reward. Economic extortion is basically the demanding of money. “A conflict of interest occurs when an employee, manager, or executive has an undisclosed economic or personal interest in a transaction that adversely affects the organization.” (Wells, 2011, p. 242). These are not all corruption schemes that exist but have been determined to be more common than others and ones that should definitely be watched for when completing an audit or a full financial status review.

Recommendation of types of accounting evidence and methods of gathering such evidence to support the financial status review
Not all evidence is the same nor does it hold the same value in a case or trial. Evidence is defined as, “Anything perceptible by the five senses and any species of proof-such as testimony of witnesses, records, documents, facts, data or concrete objects…” (Singleton and Singleton, 2010, p. 214). In order to be valuable and legally acceptable evidence must be relevant, material. To hold relevance is to be able to establish a fact. An example of relevant evidence is one’s motive. If evidence shows that someone has something to gain then they have motive and the evidence is relevant. Materiality

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