Answer Happy

requirement 1. assignments of responsibility, competentpersonnel, inappropriate documents, internal audit, properauthorization, internal audit, proper authorization,separation of duties.
requirement 2 Possible problem: Lost profits, lost revenues,theft of cash.
requirement 3 potential solution: hire a security guard, installa surveillance camera, separate cash handling duties fromaccounting duties separate bank reconciliation from otherduties.
situation b.
requirement 1. assignment of responsibility, competentpersonnel, inappropriate documents, internal audit, properauthorization, separation of duties.
requirement 2. lost profits due to inefficiency, lost revenuesdue to low quality work, theft of cash or diamonds.
requirement 3, fire the purchasing agent, separate purchasingapproval and check signing duties.
situation c
requirement 1:
assignment of responsibility, competent personnel, inappropriatedocuments, internal audit, proper authorization, separation ofduties.
requirement 2: lost revenues beaucse employees are neglectingregular duties, theft when manager is out of town.
requirement 3: Have the owner stay in the office, assign only asingle employee to manage when owner is absent hire a work fromtemp agency.
Each of the following situations reveals an internal control weakness: i (Click on the icon to view the situations.) Requirement 2. Possible Problem: Situation a. Jake Bates has been an employee of the city of Elmhurst for many years. Because the city is small, Bates performs all of its accounting duties, addition to opening the mail and preparing bank deposits and bank reconciliations. Requirement 1. Missing Control Characteristic: Requirement 2. Possible Problem: Requirement 2. Possible Problem: ▼ Requirement 3. Potential Solution: Situation b. A purchasing agent for Mark Manufacturing is responsible for buying diamonds for use in the company's manufacturing process, approving the invoices for payment, and signing the checks. No supervisor reviews the purchasing agent's work. Requirement 1. Missing Control Characteristic: Requirement 3. Potential Solution: Situations Requirement 3. Potential Solution: Situation c. Bailey Price owns an architectural firm. Price's staff consists of 16 professional architects, and Price manages the office. Often her work requires her to travel to meet with clients. During the past six months, Price has observed that when she returns from a business trip, the architecture jobs in the office have not progressed satisfactorily. She learns that when she is away, two of her senior architects take over office management and neglect their normal duties. One employee could manage the office. Requirement 1. Missing Control Characteristic: a. Jake Bates has been an employee of the city of Elmhurst for many years. Because the city is small, Bates performs all of its accounting duties, in addition to opening the mail and preparing bank deposits and bank reconciliations. Requirements b. A purchasing agent for Mark Manufacturing is responsible for buying diamonds for use in the company's manufacturing process, approving the invoices for payment, and signing the checks. No supervisor reviews the purchasing agent's work. 1. 2. 3. - X Identify the missing internal control characteristic in each situation. Identify each organization's possible problem. Propose a solution to the problem. c. Bailey Price owns an architectural firm. Price's staff consists of 16 professional architects, and Price manages the office. Often her work requires her to travel to meet with clients. During the past six months, Price has observed that when she returns from a business trip, the architecture jobs in the office have not progressed satisfactorily. She learns that when she is away, two of her senior architects take over office management and neglect their normal duties. One employee could manage the office.