Answer the following questions: Identify the basic concepts of an accounting information system and the types. Describe the nature and purpose of a subsidiary ledger. List the two-common subsidiary. Why the companies use special journals? List them. Define fraud and internal control. Identify the basic concepts of bank reconciliation.

Answer the following questions: Identify the basic concepts of an accounting information system and the types. Describe the nature and purpose of a subsidiary ledger. List the two-common subsidiary. Why the companies use special journals? List them. Define fraud and internal control. Identify the basic concepts of bank reconciliation.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Why do organizations have policies regarding the use of assets and why do staff need to be aware of…

A: 1. Why do organizations have policies regarding the use of assets, and why do staff need to be aware…

Q: Bank confirmations are critical to the cash audit. What information does the auditor obtain by…

A: Cash audit:- A specific kind of accounting audit called a "cash audit" focuses on cash transactions…

Q: Bank reconciliation only involves comparing the organization's cash account with the bank statement,…

A: A corporation creates a bank reconciliation statement (BRS) to make sure the balance of its recorded…

Q: Which of the following is NOT one of the purposes of internal control? a. to guarantee the success…

A: Internal control involves procedures and policies to ensure the integrity of the accounting…

Q: Which of the following does not demonstrate internal control practices? a. Allowing access of…

A: Internal control is a set of measures instituted by management and designed to help. achieve the…

Q: Which of the following statements is correct? Select one: a. Account receivable turnover is equal to…

A: Accounts Receivables Turnover Ratio

Q: Evidence comes in various types and has different degrees of reliability. Below are some pairs of…

A: The auditors are professional who possesses accounting, auditing, and taxation expertise. The…

Q: Need help for this question

A: Step 1: Definition of Accounting SystemAn accounting system refers to the practices and procedures…

Q: Which of the following is not a purpose of internal controls? Guarantee profits Protect…

A: Internal control can be defined as a system to follow the rules and mechanism in the organisation so…

Q: Internal controls are crucial to ensuring that financial transactions are authorized and company…

A: Internal controls are the policies, procedures, and mechanisms implemented by an organization to…

Q: What type of internal controls are job rotation, preparation of bank reconciliations, segregation of…

A: Internal control: Internal control is a policy or procedures enforced by management in an…

Q: Answer the following questions to ponder: 1. What is the purpose of internal controls? 2. What…

A: An internal control is a plan of organisation for your business. It co-ordinates all systems used in…

Q: What is the purpose of preparing a bank reconciliation?

A: Bank reconciliation is prepared to reconcile the company's cash book that is reconciled with its…

Q: Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You…

A: A Firewall is an electronic barrier that prevents unauthorised access to an organization’s computer…

Q: Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You…

A: Financial Reporting Phishing occurs when management prepares a misleading financial statement.…

Q: he importance of internal control is to protect against all of the following EXCEPT integrity…

A: Internal controls: Internal controls are the controls which are defined for the purpose of Auditing…

Q: Dicuss the techniques an imposter can use to breach into an accounting information system.

A: Computer Fraud: A computer fraud is an unlawful act committed by the employees in an organization…

Q: Answer

A: Step 1: Why do organizations have policies regarding the use of assets, and why do staff need to be…

Q: Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You…

A: Internal Control: Internal control refers to the policies, and plans of the business organization…

Q: How can fraud be prevented in the making use of accounting information systems? How do ethics and…

A: The objective of this question is to understand the measures that can be taken to prevent fraud in…

Q: e there could be potential accounting fraud in a company. Make sure you elaborate on your reasoning…

A: Accounting fraud: Accounting fraud refers to the deliberate manipulation and illegal alteration of…

Concept explainers

Audit Procedures

Audit Procedures are methods and techniques performed by the auditor to determine the quality of financial information of clients, thereby expressing an opinion on true & fair view of financial statements and entity position. They are identified and applied at the planning stage of audit after determining audit objectives, scope, approach, and risk assessment.

Question

Answer the following questions:

Identify the basic concepts of an accounting information system and the types.

Describe the nature and purpose of a subsidiary ledger. List the two-common subsidiary.

Why the companies use special journals? List them.

Define fraud and internal control.

Identify the basic concepts of bank reconciliation.

Definition Definition Structural system an enterprise uses to collect, store, report, retrieve, and process financial data. Accounting information systems are used by business analysts, auditors, accountants, and consultants for accurate and efficient access to financial data.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Audit procedures for items of Financial Statement

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Introduction: Bank reconciliation is a critical accounting process that ensures the accuracy and consistency of financial records between a company's accounting records and its bank statements. This process is vital for identifying discrepancies, errors, or fraudulent activities, and it plays a crucial role in maintaining the integrity of financial reporting. The Scenario: Consider a manufacturing company, ABC Ltd., with a complex financial landscape involving numerous transactions. ABC Ltd. conducts monthly bank reconciliations to reconcile its accounting records with the bank statements. Bank Reconciliation Process: Gathering Information: The accounting team collects all relevant financial information, including bank statements, canceled checks, deposit slips, and records of transactions. Initial Comparison: The team compares the company's cash account in the general ledger with the bank statement to identify any variances.
Explain the difference between computer fraud and general fraud. Explain both categories of fraud in relation to accounting information system.
Define the following terms below: a. Financial crime b. Fraud triangle c. Money laundering d. Accounting Fraud e. Asset misappropriation f. Consumer fraud g. Data theft h. Tax fraud NB: Answer questions a-h
Why do organizations have policies regarding the use of assets and why do staff need to be aware of them and other organizational policies, procedures and accounting standards? Internal control is enhanced by combining the control of a transaction with the record-keeping function.a.True.b. False. For efficiency of operations and better control over cash, a company should maintain only one bank account. i. True. ii. False.
Which field typically appears in the Bank Register but not usually in reports?
Help
An accounting manager, who has full access to a Company’s accounting system also has access to the bank account and is able to send cash payments without supervision. What is an internal control that should be implemented to reduce the risk of theft or fraud in this company?
Why is it important for companies to analyze revenue and accounts receivable? How can these areas lend themselves to fraud when left with lack of segregation of duties, weak controls and recordkeeping delays?
From pages 4-1 and 4-2 of the VLN, the COSO Framework describes 5 components of internal control. What is the purpose of internal controls from a financial accounting perspective? 1. To guarantee no fraud will occur in the organization. 2. To help safeguard the company's assets. 3. To help improve the accuracy and reliability of the accounting information. 4.To prevent collusion. Group of answer choices A. 1,2, and 3 B. 2 and 3 C. 2, 3, and 4 D.1, 2, 3, and 4