She is spending a lot of time marketing and selling mixers and giving her

She is spending a lot of time marketing and selling

  • Notes
  • nataliasalaskina
  • 51
  • 67% (6) 4 out of 6 people found this document helpful

This preview shows page 48 - 50 out of 51 pages.

She is spending a lot of time marketing and selling mixers and giving her cookie classes.Her friendJohn is an accounting student who runs his own accounting service. He has asked Natalie if shewould like to have him do her accounting. John and Natalie meet and discuss her business.Part 2Natalie decides that she cannot afford to hire John to do her accounting. One way thatshe can ensure that her cash account does not have any errors and is accurate and up-to-date isto prepare a bank reconciliation at the end of each month. Natalie would like you to help her.CONTINUING COOKIE to the book’s companion website, , to see the completion of this problem.JWCL165_c07_304-355.qxd 7/31/09 2:05 PM Page 351
Background image
Exploring the WebBYP7-3All organizations should have systems of internal control. Universities are no excep-tion. This site discusses the basics of internal control in a university setting.Address: , or go to Steps:Go to the site shown above.InstructionsThe front page of this site provides links to pages that answer six critical questions. Use theselinks to answer the following questions.(a)In a university setting who has responsibility for evaluating the adequacy of the system ofinternal control?(b)What do reconciliations ensure in the university setting? Who should review the reconciliation?(c)What are some examples of physical controls?(d)What are two ways to accomplish inventory counts?352Chapter 7Fraud, Internal Control, and Making Across the OrganizationBYP7-4The board of trustees of a local church is concerned about the internal accountingcontrols for the offering collections made at weekly services. The trustees ask you to serve ona three-person audit team with the internal auditor of a local college and a CPA who has justjoined the church.At a meeting of the audit team and the board of trustees you learn the following.1.The church’s board of trustees has delegated responsibility for the financial management andaudit of the financial records to the finance committee.This group prepares the annual budgetand approves major disbursements. It is not involved in collections or record-keeping. Noaudit has been made in recent years because the same trusted employee has kept churchrecords and served as financial secretary for 15 years. The church does not carry any fidelityinsurance.2.The collection at the weekly service is taken by a team of ushers who volunteer to serve onemonth. The ushers take the collection plates to a basement office at the rear of the church.
Background image
Image of page 50

You've reached the end of your free preview.

Want to read all 51 pages?

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes