21. Mahal is the owner of Muning Meow Meow Day Care, a pet-sitting service. Pet owners bring their cats to Mahal's facility in Kamuning, Quezon City, where they are either given private accommodations or are put in a large pen with other cats. (Private accommodations are more expensive.) Mahal and her employees feed the cats twice a day; those cats in private accommodations are also given two exercise periods per day. Owners pay half the daily fee at the start of the day, and the other half when they pick up the dog at the end of the day; owners must also certify that their cats have had all required vaccinations. As Mahal's company is a day care service, no cats stay the night in her facility. Mahal accepts cash, checks, Gcash, Paymaya, and major credit cards in payment. Mahal is interested in developing a comprehensive internal control plan for Muning Meow Meow Day Care; she has approached you, as a consultant, for assistance. Which of the following group of concepts related to COSO Framework for Internal Control below is/are true? I. Control Environment: Owners may not pick up their dogs. Checks may bounce. Employees/dogs may be injured. II. Control activities: Ensure customers sign an agreement allowing Bonnie to take abandoned dogs to the pound. Stop accepting checks. Purchase adequate insurance. III. Information and communication: Review the internal control plan with employees on a quarterly basis. IV. Information and communication: Create a "suggestion box" where employees can identify weaknesses in the plan and ways to improve them. V. Monitoring: Mahal should frequently talk about the importance of internal control with her employees and customers. Group of answer choices I, II, III, IV II, III I, III II, III, V
21. Mahal is the owner of Muning Meow Meow Day Care, a pet-sitting service. Pet owners bring their cats to Mahal's facility in Kamuning, Quezon City, where they are either given private accommodations or are put in a large pen with other cats. (Private accommodations are more expensive.) Mahal and her employees feed the cats twice a day; those cats in private accommodations are also given two exercise periods per day. Owners pay half the daily fee at the start of the day, and the other half when they pick up the dog at the end of the day; owners must also certify that their cats have had all required vaccinations. As Mahal's company is a day care service, no cats stay the night in her facility. Mahal accepts cash, checks, Gcash, Paymaya, and major credit cards in payment. Mahal is interested in developing a comprehensive internal control plan for Muning Meow Meow Day Care; she has approached you, as a consultant, for assistance.
Which of the following group of concepts related to COSO Framework for Internal Control below is/are true?
I. Control Environment: Owners may not pick up their dogs. Checks may bounce. Employees/dogs may be injured.
II. Control activities: Ensure customers sign an agreement allowing Bonnie to take abandoned dogs to the pound. Stop accepting checks. Purchase adequate insurance.
III. Information and communication: Review the internal control plan with employees on a quarterly basis.
IV. Information and communication: Create a "suggestion box" where employees can identify weaknesses in the plan and ways to improve them.
V. Monitoring: Mahal should frequently talk about the importance of internal control with her employees and customers.
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