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- The given scenario involves Joseph and Krystal, who are members of a shared social group and have joined Missile’s Financial Services as middle managers. Each of them reports to a different senior manager, who, in turn, reports to the Managing Director. Periodically, after payday, Joseph, Krystal, and other members of their social group attempt to have lunch together. Joseph expresses distress about his recent experiences with Nicholas, his manager. The issue revolves around a meeting with a new supplier aimed at finalizing a contract. Despite having engaged with the supplier for over two and a half months and reaching a preliminary agreement on costs, Joseph struggled to get Nicholas to review and approve the contract details in the preceding two weeks. The supplier is deemed crucial, offering fast services, a reputable product line, and a favorable cost, even willing to customize stationary at no extra expense. Despite Joseph's efforts, Nicholas, consistently occupied, only briefly…Explain the history and purpose of the Recovery Audit Contractor (RAC) demonstration process.The 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.
- Janelle acquires a used seven-year class asset on November 3, 2020, for $40,000. She does not elect to expense any of the asset under § 179 or straight-line cost recovery. No election for additional depreciation is made. She sells the asset on December 4, 2021. This is the only asset she acquires in 2019. Determine Janelle’s cost recovery depreciation in 2020 and 2021.How long should a record of a default record be kept by an organisation in accordance with legislative requirements?Distinguish among a payroll master file, a W-2 form, and apayroll tax return. Explain the purpose of each.
- Marvelous Music provides music lessons to student musicians. Adjusting entries are performed on a monthly basis. An unadjusted trial balance dated December 31, 2020, follows. (Bear in mind that adjusting entries have already been made for the first 11 months of 2020, but not for December.) Prepare the necessary adjusting entry. Prepare an adjusted trial balance. An unadjusted trial balance is given below. MARVELOUS MUSIC UNADJUSTED TRIAL BALANCE DECEMBER 31, 2020 Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15,800 Accounts receivable. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,100 Unexpired insurance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,200 Prepaid rent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 Sheet music supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .…Returning Back unspent money from the grantOutline four courses that may necessitate the restructuring or establishment of a new record management system.
- Tom Taylor, the Sales Manager, was told by his boss, Carl Bauer, to take an order from a new customer for a batch of products. Tom knew that the products involved would only partially meet the customer’s requirements and that Carl knew that. But, Carl insisted that the order was too valuable to lose. What should Tom do?Amy is caring for her aging mother, Milly. Milly has a number of health issues. She has given Amy a power of attorney so that Amy can help pay her bills and handle her business affairs. Amy is concerned that Milly will eventually use up all her assets, including losing her house, to provide for her health care needs. To protect against that eventuality, Amy intends to use her power of attorney to put Milly’s house into Amy’s name. True or False: Amy’s transfer of the house is a breach of her fiduciary duty as Milly’s agent.What are the basic functions of the clerk of works and does he have a delegated authority to issue contractinstructions?