Accounting Information Systems
10th Edition
ISBN: 9781337619202
Author: Hall, James A.
Publisher: Cengage Learning,
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Chapter 8, Problem 17P
1)
To determine
Draft a memo from internal auditor to the Mr. H, CEO of Company H addressing the perception risks.
2)
To determine
Draft a memo from internal auditor to the Mr. H, CEO of Company H addressing the nature of the risks associated with outsourcing.
3)
To determine
Draft a memo from internal auditor to the Mr. H, CEO of Company H addressing how the internal auditor can resolve the concerns about the service provider’s internal controls.
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Lamar LLC is in the process of updating its revenues and receivables systems with the implementation of new accounting software. James Loden, Inc. is an independent information technology consultant who is assisting Tamar with the project. James has developed the following checklist containing internal control points that the company should consider in this new implementation:
Will different system access levels for different users be incorporated?
Two geographically distributed companies have several facilities around the country. The database users in company “A” need rapid access to common data for read-only purposes. Company “B” users need rapid access to data for transaction processing purposes. Their sites are autonomous; they do not share the same customers, products, or suppliers Under these circumstances:
Which distributed database method is best for company “A”. Explain your reasoning.
Which distributed database method is best for company “B”. Explain your reasoning.
Question #66: Lamar LLC is in the process of updating its revenues and receivables systems with the implementation of new accounting software. James Loden, Inc. is an independent information technology consultant who is assisting Tamar with the project. James has developed the following checklist containing internal control points that the company should consider in this new implementation:
Will all data entry clerks and accounting personnel have their own PCs with log‐in IDs and password protection?
Will different system access levels for different users be incorporated?
Will customer orders be received via the Internet?
Has the company identified an off‐site alternative computer processing location?
Does the project budget include line items for an upgraded, uninterrupted power source and firewall?
Required: In a two (2) page response, describe the control purpose for each point presented in the case.
Chapter 8 Solutions
Accounting Information Systems
Ch. 8 - What information is contained in a journal...Ch. 8 - How are journal vouchers used as a control...Ch. 8 - Prob. 3RQCh. 8 - Prob. 4RQCh. 8 - What is the purpose of a responsibility center...Ch. 8 - Prob. 6RQCh. 8 - Name, in order, the 11 steps of the financial...Ch. 8 - Prob. 8RQCh. 8 - When are adjusting entries made, and what is their...Ch. 8 - Prob. 10RQ
Ch. 8 - Prob. 11RQCh. 8 - Prob. 12RQCh. 8 - Prob. 13RQCh. 8 - Prob. 14RQCh. 8 - What is an XBRL taxonomy?Ch. 8 - Prob. 16RQCh. 8 - Prob. 17RQCh. 8 - Explain how the formalization of tasks promotes...Ch. 8 - Prob. 19RQCh. 8 - Distinguish between narrow and wide span of...Ch. 8 - Prob. 21RQCh. 8 - Prob. 22RQCh. 8 - Contrast the four decision typesstrategic...Ch. 8 - Prob. 24RQCh. 8 - What management levels are more likely to deal...Ch. 8 - Prob. 26RQCh. 8 - Prob. 27RQCh. 8 - Prob. 28RQCh. 8 - What are the two phases of responsibility...Ch. 8 - What are the three most common forms of...Ch. 8 - What is goal congruence?Ch. 8 - Prob. 32RQCh. 8 - Prob. 33RQCh. 8 - Prob. 34RQCh. 8 - Explain some reporting techniques that may cause...Ch. 8 - Prob. 36RQCh. 8 - What types of variances are found on cost center...Ch. 8 - Distinguish between a profit center and an...Ch. 8 - Prob. 39RQCh. 8 - Prob. 40RQCh. 8 - Prob. 41RQCh. 8 - Prob. 1DQCh. 8 - Prob. 2DQCh. 8 - Explain how erroneous journal vouchers may lead to...Ch. 8 - Prob. 4DQCh. 8 - Prob. 5DQCh. 8 - Prob. 6DQCh. 8 - Prob. 7DQCh. 8 - Prob. 8DQCh. 8 - If management control and strategic planning...Ch. 8 - Prob. 10DQCh. 8 - Prob. 11DQCh. 8 - Prob. 12DQCh. 8 - Prob. 13DQCh. 8 - Prob. 14DQCh. 8 - Prob. 15DQCh. 8 - Why are cost centers considered to be more...Ch. 8 - Explain how a production quota used to evaluate a...Ch. 8 - Prob. 18DQCh. 8 - Prob. 19DQCh. 8 - Prob. 20DQCh. 8 - Prob. 21DQCh. 8 - Prob. 22DQCh. 8 - Which of the following statements best describes a...Ch. 8 - Prob. 2MCQCh. 8 - Which of the following is NOT an output report of...Ch. 8 - Prob. 4MCQCh. 8 - Prob. 5MCQCh. 8 - Prob. 6MCQCh. 8 - Hercules Inc. uses a performance reporting system...Ch. 8 - Prob. 8MCQCh. 8 - Which of the following statements is true? a....Ch. 8 - Which of the following budgeting processes is...Ch. 8 - Prob. 11MCQCh. 8 - At what level of management is the long-range...Ch. 8 - Which is the fundamental purpose of responsibility...Ch. 8 - Prob. 14MCQCh. 8 - An investment center is described best by which of...Ch. 8 - Prob. 1PCh. 8 - FINANCIAL REPORTING PROCESS The following contains...Ch. 8 - Prob. 3PCh. 8 - Prob. 4PCh. 8 - Prob. 5PCh. 8 - Prob. 6PCh. 8 - Prob. 7PCh. 8 - ORGANIZATIONAL CHART Prepare an organizational...Ch. 8 - DECISION LEVEL Classify the following decisions as...Ch. 8 - Prob. 10PCh. 8 - ORGANIZATION STRUCTURE AND SPAN OF CONTROL Refer...Ch. 8 - ORGANIZATION STRUCTURE AND SPAN OF CONTROL Refer...Ch. 8 - CMA-ADAPTED ORGANIZATIONAL STRUCTURE While...Ch. 8 - CMA-ADAPTED PERFORMANCE MEASURES The Star Paper...Ch. 8 - Prob. 15PCh. 8 - MANAGEMENT BY EXCEPTION A variety of quantitative...Ch. 8 - Prob. 17P
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