Until a year ago, Dagwood Printing Company had always operated in a centralized computer environment. Now, 75 percent of the office employees have a PC. Users have been able to choose their own software packages, and no documentation of end-user-developed applications has been required. Next month, each PC will be linked into a local area network and to the company’s mainframe. Required a. Outline a plan of action for Dagwood Printing Company to ensure that the proper controls over hardware, software, data, people, procedures, and documentation are in place. b. Discuss any exposures the company may face if the devised plan is not implemented.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Until a year ago, Dagwood Printing Company had always operated in a centralized computer environment. Now, 75 percent of the office employees have a PC. Users have been able to choose their own software packages, and no documentation of end-user-developed applications has been required. Next month, each PC will be linked into a local area network and to the company’s mainframe.
Required
a. Outline a plan of action for Dagwood Printing Company to ensure that the proper controls over hardware, software, data, people, procedures, and documentation are in place.
b. Discuss any exposures the company may face if the devised plan is not implemented.

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