Cross-training accounting staff: Another important part of maintaining an audit trail is to cross-train employees on accounting tasks. Cross training offers several benefits:Employee A can perform employee B’s accounting work when B isn’t in the office.If A and B can perform the procedures, they can both explain the process to the auditors and help them pull accounting records.If each accounting task can be performed by at least two people, auditors have an easier time getting help with any accounting issue.
Check cash flow from profit: The objective of a business is not simply to make profit but to generate cash flow from making profit as quickly as possible. Cash flow from making profit is the most important stream ofcash inflow to a business. A business could sell off some assets to generate cash, and it can borrow money or get shareowners to put more money in the business. But cash flow from making profit is the spigot that should always be turned on. A business needs this cash flow to make cash distributions from profit to shareowners, to maintain liquidity, and to supplement other sources of capital to grow the business.4.Assessment Task 2: Criteria defining acceptable performanceSubmission DetailsCandidate’s name:Phone no:Assessor’s name:Phone no:Assessment site:Assessmentdate/s:Time/s:OutcomesDid the candidate:SatisfactoryYesNoSubmit a completed actual-to-budget variance report according to organisationalrequirements?Submit a completed debtor ageing ratio for required periods?Submit a report detailing issues, reasons for variances, performance andrecommendations?Submit all materials (identified above) within the agreed timeframe?
Provide responses for issues that reflect the following?(As necessary and appropriate; answers provided may not be exhaustive.)