Loose-leaf For Auditing & Assurance Services: A Systematic Approach
11th Edition
ISBN: 9781260687637
Author: William F Messier Jr, Steven M Glover Associate Professor, Douglas F Prawitt Associate Professor
Publisher: McGraw-Hill Education
expand_more
expand_more
format_list_bulleted
Videos
Question
Chapter 21, Problem 21.35P
a.
To determine
Concept Introduction:
In the era of computer technologies and the internet, everything has come up online from studying to getting the material home but, there are pros and cons to all the things that happen and thus, it is observed that there are still some people who always find it difficult to do business with a new online business.
The reason for customer reluctance with the online business.
b.
To determine
Concept Introduction:
It’s becoming increasingly difficult to get people to trust your website to make purchases on it and the trust of the customers is the most important part for any organization to survive in long run. It can be built by providing them with various services.
The type of trust service report which will be useful for the P company.
c.
To determine
Concept Introduction:
It is necessary to meet up the customer’s demand and manage the business with proper planning. As the world is developing with lots of technologies and the internet, it is also important to make people aware of the presence of the business in the market.
Assurance related to the service provided to the company concerning the company’s website.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
You are working for a new company that is primarily an Internet-based seller
of goods whose business model is similar to eBay's. The company was founded
on principles similar to eBay's and is an online auction business, but has the
added benefit of having one common site that deals with customers world-
wide. The CEO knows that privacy is very important in the online business
and has requested that the internal audit function draft a best practices privacy
policy for customers because the motto for the new company is "Your Pri-
vacy is Our Policy." The company neither has, nor plans to hire, a privacy or
compliance officer. The CEO expects the CAE to lead this effort and ensure
the campaign delivers on the company's motto. With the advertising campaign
slated to launch in one month, the CEO wants the privacy documentation
finalized as soon as possible.
A. Identify key sources on privacy that are available for you to reference as
you define best practices.
B. Determine the consulting…
nee
You must negotiate virtually with a vendor in another country. The client relationship is sensitive and important to your company. Which of the following represents the best way to proceed?
a) Use email to ensure complete understanding and to create a record of your conversation.
b) Use a speakerphone to hear as much background conversation as possible.
c) Conduct a video conversation with as many people as possible.
d) Conduct a video conversation with a screen as large as possible.'
Think about the last time that you purchased something over the internet. What did the checkout page look like? What categories of operational decisions do you think were made by the website operator? What business rules applied?
Provide a real world example of using the following databases in the workplace:
Microsoft Access
Structured Query Language (SQL)
Chapter 21 Solutions
Loose-leaf For Auditing & Assurance Services: A Systematic Approach
Ch. 21 - Prob. 21.1RQCh. 21 - Prob. 21.2RQCh. 21 - Prob. 21.3RQCh. 21 - Prob. 21.4RQCh. 21 - Prob. 21.5RQCh. 21 - Prob. 21.6RQCh. 21 - Prob. 21.7RQCh. 21 - Prob. 21.8RQCh. 21 - Prob. 21.9RQCh. 21 - Prob. 21.10RQ
Ch. 21 - Prob. 21.11RQCh. 21 - Prob. 21.12RQCh. 21 - Prob. 21.13RQCh. 21 - Prob. 21.14RQCh. 21 - Prob. 21.15MCQCh. 21 - Prob. 21.16MCQCh. 21 - Prob. 21.17MCQCh. 21 - Prob. 21.18MCQCh. 21 - Prob. 21.19MCQCh. 21 - Prob. 21.20MCQCh. 21 - Prob. 21.21MCQCh. 21 - Prob. 21.22MCQCh. 21 - Prob. 21.23MCQCh. 21 - Prob. 21.24MCQCh. 21 - Prob. 21.25MCQCh. 21 - Prob. 21.26MCQCh. 21 - Prob. 21.27MCQCh. 21 - Prob. 21.28MCQCh. 21 - Prob. 21.29MCQCh. 21 - Prob. 21.30PCh. 21 - Prob. 21.31PCh. 21 - Prob. 21.32PCh. 21 - Prob. 21.33PCh. 21 - Prob. 21.34PCh. 21 - Prob. 21.35P
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Similar questions
- As Elaine Black reflects on her meeting with Jim Saxton and Peter Greyton, she considers where the company has been and where it is heading, and ponders the current issues regarding Robatelli's accounting information systems and its ability to take and record sales. She is concerned about the limitations of the current accounting information system. Are internal controls strong enough? Would a new, integrated IT system yield improvements? As she contemplates the integration of the POS systems at the restaurant locations with the GL software at the home office, she wonders about the requirements for developing and implementing such a system, and how to best utilize the system to support Robatelli's plans for growth. Elaine realizes that her ability to address these issues will be critical not only to the success of the company, but also to her career. Briefly describe the differences in Robatelli's three order-entry systems (in-store, telephone, and Internet). For each method,…arrow_forwardLeonard Moses is planning to grow its customer base and is in the process of creating an online web-based sales ordering system for customers to purchase products using personal credit cards for payment. At a recent meeting with the internal auditors, it was highlighted that there are risk associated with this system. Identify three risks related to an online sales system that management should consider. For each risk, identify an internal control that could be implemented to reduce that risk.arrow_forwardLamar LLC is in the process of updating its revenues and receivables systems with the implementation of new accounting software. James Loden, Inc. is an independent information technology consultant who is assisting Tamar with the project. James has developed the following checklist containing internal control points that the company should consider in this new implementation: Will customer orders be received via the Internet? Are all collections from customers received in the form of checks? Are product quantities monitored regularly?arrow_forward
- After finishing your accounting degree, you joined an accounting firm. This is a medium-size accountingfirm with a reasonable range of clients. You are in an engagement meeting with one of your clients, andyour client's management raises some concerns. In particular, the management is concerned that theaudit tests that you perform will disrupt operations. Your client has recently implemented a datawarehouse. The management suggests that you draw the data for analytical reviews and substantivetesting from the data warehouse instead of the operational database. Further, the management pointsout that operational data are copied weekly into the data warehouse, and all data you need are containedthere.Required: Based on the given scenario, outline your response to the management's proposal and mentionany concerns you might have.arrow_forwardThe operation manager of Marcoba Bhd is seeking your advice on his company's request for a computer software to be used in managing the sales of the company. He is unsure of how to obtain the computer software but realizes that different types of acquisition will impact the company's financial statement differently. He is considering the following possibilities: a) Making a purchase of the computer software externally. The quotation that he has received includes packages for payroll and general ledger. b) Making a purchase of a computer software that can be incorporated into a sales system that the company will develop. c) Signing a contract with independent programmers to develop a computer software that will specifically cater for Marcoba Bhd's own use d) Employing own programmers to write a computer software that the company will use. Required: Advice the operation manager on the impact of each possibility above on the company's financial statementarrow_forwardConsider the following short case as you respond to the question:SPC Corporation sells computer security software. They maintain their AIS using general ledger software; data files are backed up twice a day. Sales staff can access the customer database, inventory files and general ledger, as well as sales-related documents such as invoices and sales orders. Newly hired sales staff members at SPC receive the company procedures manual which explains the process used to complete the steps in the sales/collection process. To minimize costs, SPC designates up to five sales staff members each month who can do credit checks for all new customers in addition to processing sales. SPC bills its clients monthly and uses the balance forward method of accounting for receivables; all cash receipts from clients are processed using a lockbox procedure. The lockbox firm's fee is 3% of all collections. SPC's accounting department estimates bad debts at the end of each fiscal year; they are normally…arrow_forward
- uppose your company has an e-commerce Website for selling different types of goods and services. Discuss the followings:i)Ethical concerns associated with storing and analyzing user data?ii) How would you use intrusion detection system to control security threats that face this website?arrow_forwardCreate a flowchart for the following telephone-ordering process at a retail chain that specializes in selling books and music CDs. It provides an ordering system via the telephone to its time-sensitive customers besides its regular store sales. The automated system greets customers, asks them to choose a tone or pulse phone, and routes them accordingly. The system checks to see whether customers have an existing account. They can wait for the service representative to open a new account. Customers choose between order options and are routed accordingly. Customers can cancel the order. Finally, the system asks whether the customer has additional requests; if not, the process terminates.arrow_forwardYou are internal auditor inspecting process used by sales representatives of a company selling office supplies to small companies. Before a new customer’s line of credit established, the sales rep must complete an online form that contains questions for which they must gather information from the new customer. The company asks that the sales reps gather this data (there is much more required, these are just the first few fields) as the first part of the data gathered: Company name, address, corporate form (sole proprietor, LLC, LLP, or S Corp), line of credit amount requested, authorized purchaser name and address, shipping address. For each of these fields, What error conditions need to be addressed? (What is an error condition?) For each, what do you recommend as a test/verification method? (You may find some that you believe don’t need a verification process)arrow_forward
- E-Commerce Benefits For this discussion: Use the Internet or Strayer University Library databases to research a small company's changes in e-commerce presence that could affect the way the company conducts its business. Choose a company that is small to medium sized, is not publicly traded, and does not have an e-commerce presence. Explain the company's products and/or the services they provide. Suggest two beneficial processes (or changes) to the company's operations that will motivate them to integrate e-commerce. Make sure the benefits you selected maps to the benefits mentioned in the readings and outline and in the accounting context.arrow_forwardShining Glass is switching to a new accounting information system. To expedite the implementation, the managing director asked your consulting team to postpone establishing standards and controls until after the system is fully operational. What will be your response to the managing director’s request? Explain.arrow_forwardWise Limited has an online platform for purchase and sale of goods and services which connects customers all around the world. It provides additional services of invoicing and data collation for sellers on the platform. Sellers process sales orders and transport the orders to the customers. Payment is made through the platform directly to the seller for which Wise limited collects a fee for invoicing services Further to the requirement of the Code of Corporate Governance Wise limited has decided to change its auditors after a period of 10 years. Your firm was approached and due process followed in the appointment of new Auditors including appropriate professional clearance. The audit is now set to commence. You are the Audit Manager responsible for this engagement but some of your Team members are not conversant with controls in on-line businesses. b. A computer-based information system is expected to have general IT controls in place. Discuss the main categories of general IT…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Pkg Acc Infor Systems MS VISIO CDFinanceISBN:9781133935940Author:Ulric J. GelinasPublisher:CENGAGE L
Principles of Accounting Volume 2AccountingISBN:9781947172609Author:OpenStaxPublisher:OpenStax College
Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,- Business Its Legal Ethical & Global EnvironmentAccountingISBN:9781305224414Author:JENNINGSPublisher:Cengage
Pkg Acc Infor Systems MS VISIO CD
Finance
ISBN:9781133935940
Author:Ulric J. Gelinas
Publisher:CENGAGE L
Principles of Accounting Volume 2
Accounting
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax College
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,
Business Its Legal Ethical & Global Environment
Accounting
ISBN:9781305224414
Author:JENNINGS
Publisher:Cengage
Enterprise Resource Planning (ERP); Author: tutor2u;https://www.youtube.com/watch?v=A98X_bvX2QA;License: Standard Youtube License