During the process, BSG noted that the flow of information between the stakeholder groups was unclear, and that inconsistent information was being disseminated, which resulted in confusion and misunderstandings”. Evaluate this statement in the light of the investigations undertaken by the consulting company
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- The following data was gathered during one of the recent audits of Cash Disbursement Section. One of the findings was on the outdated Delegation of Authority to policy. In preparing a report of the findings, identify the elements of an audit findings for each data (in order). 1. The delegation authority is updated biannually and not when changes in personnel or responsibilities of authorized individuals occur. 2. The delegation of authority policy list three individuals who are no longer with the company. Additionally, four individuals were identified who are new in their positions that should have disbursement authority, but are not listed in the policy. 3. Disbursements may be made that are not in accordance with management's or BOD's direction. 4. Authority over the disbursement of funds should only be delegated to individuals whose responsibility justify such authority. O Cause, Effect, Condition, Criteria O Condition, Effect, Cause, Criteria O Cause, Condition, Effect,…CVP Analysis; Commissions; Ethics Lionel Corporation manufactures pharmaceutical products sold through a network of sales agents in the United States and Canada. The agents are currently paid an 18% commission on sales; that percentage was used when Lionel prepared the following budgeted income statement for the fiscal year ending June 30, 2019: Lionel Corporation Budgeted Income Statement For the Year Ending June 30, 2019 ($000 omitted) Sales $28,500 Cost of goods sold Variable $12,825 Fixed 3,500 16,325 Gross profit $12,175 Selling and administrative costs Commissions $ 5,130 Fixed advertising cost 800 Fixed administrative cost 2,150 8,080 Operating income $ 4,095 Fixed interest cost 705 Income before income taxes $ 3,390 Income taxes (30%) 1,017 Net income $ 2,373 Since the completion of the income statement, Lionel has learned that its sales agents are requiring a 5% increase in their commission rate (to 23%) for the upcoming year. As a result, Lionel’s president has…Contract Management and Administration Case Analysis: Auditing Agencies Unearth Procurement Scam Two government auditing agencies have unearthed serious irregularities in the procurement of relief items worth Shs10b. Two forensic audits by the Office of the Auditor General (OAG) and the Public Procurement and Disposal of Assets (PPDA), dated September 7, 2021, and April 12, 2022, respectively, put senior officials on the spot for allegedly causing financial losses to the taxpayer. Copies of the findings seen by this newspaper point to alleged forgeries, collusion between some officials and suppliers, and failure to adhere to key critical procurement regulations. Our analysis of a cache of official documents of the contentious procurements, which dovetails with findings by government auditors, shows that contracted companies supplied items without a contract specifying quality, leading to the delivery of substandard items. The auditors found some officials culpable of undertaking…
- Examine the following situation: Register.com alleges that Verio had violated the terms of use of Register.com's WHOIS database. Verio understands that the terms are not binding, as users may access the database with or without manifestation of express consent to the terms of use. On the other hand, Register.com points out that Verio cannot argue that it has not consented to its terms of use, since they are clearly published on its website. At the end of the terms, it states that “by making this inquiry, you agree to comply with these terms.” Verio does not claim that it was unaware of these terms, but rather that you are not prompted to click on an icon indicating your acceptance of the terms.acme the rejected current regulator proposal what could be the possible alternative course of actions to get the contractClear Field Cheese Company Case Andy Reisinger, CIO, and Sandy Knight, CSCO, of the Clearfield Cheese Company in central Pennsylvania had just returned from a meeting with Tom Powers, who was the CEO of the company. Andy and Sandy were both feeling the pressure of the competitive problems that Tom had presented in their weekly senior staff meeting. It was clear that Clearfield Cheese Company faced challenging market conditions. Background Clearfield Cheese Company was established in 1931 by two brothers, Ted and Terry Edwards, in Clearfield, which is located in an agricultural area in central Pennsylvania. At the time, the U.S. economy was in the throes of a severe economic depression. The local dairy farmers were experiencing financial duress because they could not sell their milk at a price which would cover their costs. Part of the problem was transporting the milk to Pittsburgh and other larger cities at a landed cost that was competitive with farmers in Ohio. The Edwards brothers…
- A civil association has not provided information on the distribution of profits to its partners, which would amount to 30% of the profits generated; however, since its operations are non-profit, this causes discomfort in the community and legal action will be taken against its partners for not making the use of resources and contributions of each member of the association transparent. a. Identifies the activities that are omitted according to the components of the COSO model. b. Describes the types of risks that unfair practices imply for the association. c. Suppose you are a member of the board of directors and establish activities to avoid the possibility of fraud.Corporate Social Responsibility has been defined as a “firm’s intelligent and objective concern for the welfare of society; such concern should entail a firm contributing to human betterment, by using its profit to address issues of concern to society and/or a firm to restraining from behaviour and activities that are harmful to society, no matter how immediately profitable such behaviour or activities might be”. Required: Describe the relationship between strategy and corporate social responsibility Explain how a firm’s cooperation in matters of taxes, bribery and corruption may constitute corporate social responsibilityFirms that enters into a turkey project with a local enterprise may inadvertently create a competitor. Select one: True False
- The “Compliance with Standards Rule” requires that a member who performs professional services, including consulting services, comply with standards promulgated by bodies designated by Council, regardless of whether the member is holding out as a CPA. The standards applicable to members performing consulting services are set forth in the Statements on Standards for Consulting Services (SSCSs) and specifically state that such standards apply to members holding out as a CPA while providing consulting services. Would a member who does not hold out as a CPA be in compliance with “Compliance with Standards Rule” if the member did not comply with the SSCSs while performing consulting services for a client? Yes or NoThe finance director, Montse Mirabelle, has informed you that a significant fraud took place during the year in the payroll department. A number of fictitious employees were set up on the payroll and wages were paid into one bank account. This bank account belonged to two supervisors, who were married, and were employed by Heraklion Co. One had sole responsibility for setting up new joiners in the payroll system and the other processed and authorised bank transfer requests for wages and supplier payments. These employees no longer work for the company and Montse has asked the audit firm for recommendations on how to improve controls in this area to prevent this type of fraud occurring again. Heraklion Co operates a Human Resources department. Required:(c) In relation to the payroll fraud, identify and explain THREE controls Heraklion Co should implement to reduce the risk of this type of fraud occurring again and, for each control, describe how it would mitigate the risk.what is the responsibilities over attached agencies by the chairman of the CICT