Wells Fargo Purchase Card Review Summary

Now, American Northwest Bank exists as a creditor as well to Simply Soup Inc. which changes their engagement causing concern for the confirmation response from the bank to be trustworthy. With the existence of this new information in line with PCAOB Auditing Standards, Paragraph 33, supplemental evidence is required to have adequate and proper proof in turn to form an opinion on the account and in addition to the client, Simply Soups Inc. showing fairly their financial statements, materials, and disclosures. Verifying the materiality of the line of credit and questioning client regarding any loan guarantees that should be disclosed by a third inquiry for account balance confirmation are vital. Fifth Federal confirmed that the cash bank balance was correct, however, the institution’s bank manager included verbiage that may be opposing. After reviewing the statement written by the Fifth Federal bank manager which said, “Information is furnished as a matter of courtesy without a duty”, it is apparent that those remarks do not state that the data should not be used by the auditor nor will the remarks impact the completeness or the accuracy of the

APM Angela Collins was reviewing the HBC exception reports and flagged a transaction in which associate ABDULKAREEM processed his own refund to his debit card # 4519*******1701. The investigation does show that on dateline 1113/04/06/2017, terminal # 688, on transaction 9802, associate ABDULKAREEM refunded 1pair-Jack Jones denim jeans (UPC # 5713238304493) with a retail value of $ 49.95 to his debit account # 4519*******1701. Investigation of associate ABDULKAREEM”S account did show that he had never purchased the jeans he refunded. AP review of the covert CCTV did show that on April 6, 2017, at 6:20 pm, associate ABDULKAREEM was at the terminal by himself with no customer’s around. ABDULKAREEM looks around nervously as he approaches

The Substantive Tests of Details in this case found the same issues as the subsequent receipt verification, some of the balances did not meet the mark. It seems the overall audit was conducted adequately with one exception, the incomplete balance information. That is the definition of Qualified Report and the reason I did not choose the other reports, all the facts concerning financial transactions and statements were properly and accurately recorded and statements prepared in conformity with Generally Accepted Accounting Principles (GAAP); or so I thought. My decision to issue the Qualified Report yielded a negative response; I should have opted for the Disclaimer Report. Even though it seemed the rest of the audit went well, I should have looked at the true definition of Quality Report.

Lamont, I understand your point of view. Certainly, other source documents would serve as confirmation of prepaid expenses. Conversely, there are tell-tale signs when an entity incorrectly states a prepaid expense has been paid when it has not. An example would be prepaid utilities, if a firm stated that the electric expense was prepaid, yet the auditor located source documents with extra charges and varying amounts to the electric company this would be an indicator that the expense was not paid in advance. Moreover, an account like this would have a lump sum estimated payment with a refund or larger payment at the end of the fiscal year. Indeed, there would not be extra charges or varying amounts each month as is routine for monthly actual

b. The bogus debit memos for accounts payable. – The most reliable form of evidence that the auditors could have obtained in this situation would be confirmations. The auditors should have sent confirmations to vendors, suppliers, and creditors confirming the amount that Crazy Eddie owed them. The amounts reportedly owed could then be matched with the amounts recorded in the company’s accounting records. Auditors should question any discrepancies.

Until the intent or motive is recognized, a problem cannot be described or solved. This should be a major question to ask in the Wells Fargo case. Most workers, especially in sales and marketing jobs are known to be compensated and promoted based on their performances (number of products and services sold, number of set targets met). So it is possible that Wells Fargo compensation and promotion structure motivated these employees to engage in such fraudulent acts in order to boost their incentives and bonuses which was measured based on their performance. Because it is surprising that such huge number of employees would engage in such acts to cheat customers for a period of five years. Both former and current Wells Fargo employees told regulators that their motivation to open unauthorized accounts was because of the compensation policies and felt extreme pressure to do that to benefit from such policies (Corkery

There where accounts that had the same debit and credit amounts just a few days apart. At the end of the last quarter in 2009, there were 22 sales recorded. At the end of the previous quarters there was not a high amount of sales which leads one to think that the sales were booked at the end of the year to make the company meet their goal. There was also a high number of invoices with no bill of landing. With a high number of no bill of landings, false billing is presumed. With a bill of landing of a lesser weigh than that which was invoiced, leads to the full order not being shipped, and over charging of the customer or that special arrangements have been made with the customer to receive a discount for early billing. There was also 5 times where invoices where invoiced before they were shipped. This leds to the fact that sales where most likely

Reason for Investigation: CMI Martin Desjardin reviewed 1634’s Processing Own Refund report and discovered on August 16,2016 cash register #696 transaction (# 5996- #5997) 2 returns processed by SIKDER on his personal HBC credit card. Merchandise returned was 4 pairs of Converse sneakers.

For 1 of 25 (4%) transactions reviewed selected from 17 branches, a branch did not obtain the minimum required information such as the SSN or passport number for a non-existing customer who had purchased a cashier's check. In addition, the FCIU's AML Investigations Officer who receives the weekly branch monetary instruments reports did not detect that the required information was not obtained and maintained by the branch (Ontario) until it was detected by Internal

An example of a company that have maintained their same brand identity for years is Wells Fargo. Wells Fargo has been around for more than 160 years and they have kept their logo for that long too. Their horse and carriage logo has remained on checks, websites, and more. This has allowed their company to be successful and push through the hard times. Customers might be more likely to choose Wells Fargo as their bank because they know that they have been around for a long time.

Knowledge is considered as one of the most important and competitive resource for sustenance of the organisation (Zack, 1999). It can be compared to the strategic resource that can be used and applied in various frames of the organisation. Experienced managers in the organisations believe that company can receive strategic advantage through knowledge and not the strategies or actions implemented by competitors. Knowledge can be regarded as a strong approach that opens numerous ways of success. It is that weapon that help organisation to evaluate solutions in financial and other professional difficulties.

Kantor was using Zhang’s 5 credit cards and gift card to purchase merchandise from the store, auto locates, and on line purchases to fill the orders. All price matching transactions were looked at and the findings showed price adjustments for handbag purchases outside of the normal discounts allowed at that time. The total transactions completed for this diverter reached $57,024. CCTV review of recent transactions revealed that the diverter Weina Zhang was not present for the transactions. CCTV showed that Kantor processed several send transactions on her own utilizing gift cards supplied to her by Zhang. Kantor used the price match on the transactions without any supporting documentation.

Credit Card: Employees issued company credit card must submit receipts to the accounting department by the last day of each calendar month

First and foremost, the accounting system used should be updated. The case stated that the system was 30 years old and that prior accounting period transactions could not be locked down, which enabled internal control processes to be bypassed. Enhancing internal

As a new auditor for the CPA firm of Croix, Marais, and Kale, you have been assigned to review the internal controls over mail cash receipts of Manhattan Company. Your review reviews the following: checks are promptly endorsed “For Deposits Only”, but no list of the checks is prepared by the person opening the mail. The mail is opened either by the cashier or by the employee who maintains the accounts receivable records. Mail receipts are deposited in the bank weekly by the cashier.