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Using the following table as a guide, describe for each function (see Figure 11.1): A risk (an event or action that will cause the organization to fail to meet its goals/objectives). A control/process or use of technology that will address the risk. Function Risks Controls and Technology Marketing     Finance     Billing       AR (debit)         Sales (credit)     Collections       Cash (debit)         AR (credit)

Which of the following assets require the strongest of internal controls? Group of answer choices inventory credit cards computer equipment cash

Figure 2.1 presents the business activities of purchasing department, receiving department and account payable department of ABC Limited. This might be important to note that this is a newly configured expenditure cycle using the basic technology.       Figure 2.1. Expenditure Cycle of ABC Limited. Required: Which of the above functions must be performed by the cash disbursement department? Based on the above information, discuss the uncontrolled risks associated with the system as currently configured? And describe the controls that need to be implemented into the system to mitigate the risks in the given scenario.

Which one of the following statements is true of E-commerce? a.It  involves the exchange of an electronic item for cash.  b.Banks are reducing their use of e-commerce platforms because of cyber attacks. c.Includes trading and transferring of funds by using computer networks. d.E-commerce is not as secure as traditional delivery channels.

Required: Select the analytics type (descriptive, diagnostic, predictive and prescriptive) to the analytics types used. Types of Analyses Used Ratio analytics Bank reconciliation Scenario analytics Pivot table analytics to find most profitable product or customer Classifying firms into those expected to have committed fraud vs. no fraud Fuzzy matching of vendors and employees to see if there are similarities in names or addresses Capital budgeting-evaluating cash flows Variance analytics-why price or quantity used is greater than expected Type of Analytics Descriptive Analytics Diagnostic Analytics Predictive Analytics Prescriptive Analytics

You have been assigned to review the payment system of an enterprise. The finance director suspects that some duplicate payments may have been made. List five control procedures which you would expect to find.

Which of the following is true about M-Pesa? a. virtual cash can be swapped and transferred between mobile users with a simple text message and a system of codes b. a network which provides financial and policy advocacy suppot to MFIs c. a for profit insurance company that provides simplified single risk products to microfinance customers d. a zero interest peer to peer lending platform

Which of the following assets require the strongest of internal controls? Group of answer choices 1.credit cards 2.computer equipment 3.inventory 4.cash

Explain commercial banks’ brokerage and intermediation functions. Clearly detail how these functions help overcome the information costs, liquidity risk and price risk arising from financial investments.

Identify an investment bank of your choice and explain (a) the type of bank it is and (b) the various conflicts of interest that its activities may involve. Include in your answer examples of deals to illustrate the conflicts you identify.

Assume you are considering an entity’s internal controls over credit sales and cash collection. System  documentation was accomplished through a questionnaire and written narratives and, in conjunction  with a transaction walk-through, revealed the following potential weaknesses in internal control,  some of which, depending on their severity, could prompt you to set control risk at the maximum. a. New customers are not approved before ordered good are shipped. b. Sales prices vary from customer to custom. c. No approval is required for returned goods from customers. d. Subsidiary accounts receivable records do not always agree with the general ledger control  account. e. Blank checks are left unprotected in an unlocked safe. Required: For each potential weakness, indicate a control or controls that management could  implement to reduce the likelihood of errors or frauds. Case 4 (Adapted) During your audit of Grace Company’s December 31, 2013 financial…

A company is trying to set up proper internal controls for their accounts payable/inventory purchasing system. Currently the purchase order is generated by the same person who receives the inventory. Together the purchase order and the receiving ticket are sent to accounts payable for payment. What changes would you make to improve the internal control structure? Group of answer choices 1.The person in accounts payable should generate the purchase order. 2.The person in accounts payable should generate the receiving ticket once the invoice from the supplier is received. 3.No changes would be made since the person paying the bills is different from the person ordering the inventory. 4.The responsibilities of generating the purchase order and receiving the inventory should be separated among two different people.