6.36 Your company is evaluating the option of renting some of its computing services from a cloud provider. After many discussions, your company is considering renting only the accounting module. Your supervisor has asked you to develop, as soon as possible, a short document about how this type of service is provided by a cloud computing provider and the necessary steps that should be taken to implement this service.
9.28 You have been called in as an XBRL consultant. The president of the company has asked for your opinion regarding the costs and benefits of XBRL. What would you say? What benefits of XBRL do you see as the most important? What costs should an organization consider?
9.30 You are serving as a liaison between accounting and IT. Your company is required to use XBRL for external financial reporting. IT would like to use XBRL integrated tagging and has asked for funding for an XBRL database. The accounting department doesn’t see why IT needs funding for another new database.
What are the benefits of XBRL integrated tagging for internal use? Why would IT need a new XBRL database? What would you say at your meeting with accounting and IT?
10.40 As an auditor, you are assigned to investigate a possible fraudulent situation characterized by the way the sales cycle application in conducted. During the course of investigation of the sales cycle process, you determined the following when analyzing the generate invoice process map.
• Items unit prices are extracted from the item table.
• The number of items was multiplied by unit prices to calculate subtotals.
• A salesperson verifies possible discount and approves the discount amount
• Tax was added.
• The shipment amount was extracted from the shipment table and added to the sales amount.
• The salesperson verifies invoice form on the computer screen. The salesperson has full access to the invoice form and can change any value on it.
• The invoice was printed after being verified by the salesperson, and account receivable tables were updated.
Prepare a report of you analysis of the generate invoice process, and include manual and automated controls situations as a possible indicator of fraud.
11.32 Compare and contrast internet, intranet, and extranet. Use the following organizer for you answer
Compare (same) and Contrast (different)
12.27 Compare and contrast COSO’s Enterprise Risk Management- Integrated Framework and COSO’S Internal Control- Integrated framework
Compare (same) and Contrast (different)
12.39 Identify control objectives, risks, and control activities for the account payable process
12.42 You are the new accounting intern. You have been charged with improving risk intelligence related to the organizer’s 1000 spreadsheets. You have been asked to make a presentation to the CFO and controller with your findings. For your presentation, summarize the risks associated with an enterprise using spreadsheets without implementing spreadsheet risk management. Include a summary of your recommendation in your presentation. Do you anticipate any resistance from the accounts? How would you address this?
