t Which of the following is not typically a key element of flowcharts or

T which of the following is not typically a key

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t. Which of the following is not typically a key element of flowcharts or narrative memoranda? 1. Overall process objectives - Q6 MC page 13-512. Key inputs to the process3. Key outputs from the process4. Key risks and controlsPart B (B1=20 marks; B2=10 marks): B1) ABCWorld Ltd. is a mid-sized, closely held Canadian corporation that designs and manufactures paper-based business forms using material inputs gathered in throughout the world. The owner, Mrs. Smith, has been running this business for almost 15 years now. The company’s head office and its largest plant are located in a suburb of Vancouver, British Columbia. ABCWorld offers a wide range of products, from a simple invoice to deluxe business form packages. The products are sold in bookstores, department stores, and discount stores. All retailers are served by a network of licensed distributors. The company’s vice-president of sales supervises all distribution, pricing, and advertising activities. Apex has always been very profitable, but in recent years the growing popularity of electronic business form software has had a negative impact on Apex’s sales. Mrs. Smith has decided to launch an advertising campaign that points out the advantages of paper-based business forms, and to concentrate her efforts on the firm’s high-profit deluxe business form packages. You have been a CPA for 8 years, and you work in the management audit department of Apex. Your superior, the chief audit executive (CAE), asks you to conduct an audit of the marketing function. To begin the process, she asks you to prepare a memo to the vice-president of sales in which you explain the risks specific to the marketing function and the benefits of conducting an audit of this department. He would also like you to provide some information on the examination phase of the audit since the marketing department will be busy and staff need to ensure their availability for you. 3
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Required Prepare the memorandum in point form. In your memorandum, you should proceed as follows: 1) List fourrisks of the marketing function. (8 marks)2) Describe threebenefits of an audit of the marketing function. (6 marks)3)Focusing on pricing and advertising, identify threekey areas to be reviewed in a management audit of the marketing function. For each area, provide at least twoexamples of audit procedures to be applied during the examination phase of the management audit. (6 marks)Marketing risks (8 marks – 2 each) • Loss of sales and market share due to the following factors: poor strategic positioning lackluster promotion and advertising unremediated customer complaints inadequate customer service deficient IT support prices that are not competitive ineffective product distribution stock-outs • Loss of competitive advantage through a failure to maintain security over strategic marketing information • Erosion of unit contribution margins by failure to price products accurately and manage costs adequately • Disproportionately high marketing costs per unit sold
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  • Spring '16
  • Marketing, internal auditor, following audit procedures, marketing function, MC page

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