handling of inventory (make sure independent control over the transactionoccurred, prevent seller from committing theft)-Storage of inventory in a manner that protects it from theft and damage -Performance of regular inventory counts to verify the quantity andcondition of goods on hand (physical stocktake)*Physical stocktake也是inventory相关的internal control中的重要一环。Itrequires count of stock on hand and compare it with accounting stockrecord, adjusting record for the difference. Under the periodic method, thestocktake is required to establish the number of inventory units on hand,which enables COGS and closing stock to be determined (This is uselessfor inventory control, as it’s not used to identify discrepency, can’t detectstockloss and inventory control problem). Under the perpetual method, astocktake is used to check the accuracy of the accounting records relatingto inventory, and if it doesn’t match up with accounting record, furtheradjustment on stock loss/gain is required(helps to identify problemsregarding safeguarding inventory, and adjust accounting records,enhancing its accuracy)注 意 只 有 用perpetual recording system的 时候,physical stocktake才是 有效的internal control，periodic Recordingsystem用这个internal control效果就很鸡肋了，没办法detect stock loss来及时采取corrective actions。第五周重要考点Identify the principles and application of internal control inthe context of cash handling题 型 预 测 ：概 念题 ， 需 要 理解理解什 么 是internal control,Receivables，payables这类和cash handling相关的internal control具体有哪几类和大致的appropriate internal control的方式应该就足够了。Internal control consists of all the policies and processesused bymanagement to achieve effective and efficient operations,compliancewith laws.It includes policies to: safeguard assets,enhance accuracy andreliability of accounting records (an essential part of risk management).1.Establishment of responsibility:Assignment of responsibility to specificindividuals (clear line of responsibility). Monitoring of compliance withprocedures 有明确的个人分工，出了为题好追究责任，防止监守自盗的问题。2. Segregation of duties: Responsibility for related activities assigned todifferent people. Separation of responsibility for recording and physicalcustody of the asset 分工做事，一人做一部分，可以互相监督，防止collusion和监守自盗的问题
3.Documentation procedures:All documents generated by the business tobe pre-numbered. Documents to be initialled. Provides an audit trail forchecking of transactions和公司内部记录记账的方式相关4. Physical, mechanical and electronic controls:Use of safes and safetydeposit boxes, Locked cabinets and warehousesAlarms, Monitors and sensors, Passwords to computer systems and
You've reached the end of your free preview.
Want to read all 22 pages?
- One '14