Amber Resources Sdn Bhd is growing company specializing in women jewelry. It currently employs 200 fulltime...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Amber Resources Sdn Bhd is growing company specializing in women jewelry. It currently employs 200 fulltime employees, all of whom work out of their headquarters in Serdang, Selangor. Amber Resources Sdn Bhd, supervisor collects and review employee's timecards, which they forward to the payroll department. During payroll processing, individual employee wage rates are manually pulled from the personnel file based on the employee ID. Intern staff which work for Amber Resources Sdn Bhd, however, do not received employee identification and numbers because they are at the company for only 10 weeks. In such cases, the immediate supervisor writes the wage rate on the time cards prior to submission to the payroll department. The payroll clerk then manually prepares the payroll cheques, updates the payroll register, and files the time cards in the department. She sends a copy of the payroll register to the account payable clerk who updates the accounts payable ledger for wages payable. The payroll clerk then sends a payroll summary to the general ledger. Finally the payroll clerk sends the paycheque to the cash disbursement department, where they are signed and forwarded to supervisors, who distribute them to their respective employee's. The signed copies of the payroll cheque are returned to the payroll department, where they are matched to the payroll register and filed locally. The cash disbarment clerk prepares a list of verified recipients. She sends one copy of the list to the account payable department. The accounts payable clerk uses the list to update the account payable ledger to close out the wages payable account. The cash disbursement clerk sends a second copy of the list of recipients to the general ledger clerk, who reconciles it to the summary report and post to general ledger. Required: a) Prepare a Data Flow Diagram (DFD) to describe the above current process. (9 marks) b) Prepare a System Flowchart to describe the above current process. (10 marks) c) Explain any THREE (3) internal control weaknesses in the system. (6 marks) Amber Resources Sdn Bhd is growing company specializing in women jewelry. It currently employs 200 fulltime employees, all of whom work out of their headquarters in Serdang, Selangor. Amber Resources Sdn Bhd, supervisor collects and review employee's timecards, which they forward to the payroll department. During payroll processing, individual employee wage rates are manually pulled from the personnel file based on the employee ID. Intern staff which work for Amber Resources Sdn Bhd, however, do not received employee identification and numbers because they are at the company for only 10 weeks. In such cases, the immediate supervisor writes the wage rate on the time cards prior to submission to the payroll department. The payroll clerk then manually prepares the payroll cheques, updates the payroll register, and files the time cards in the department. She sends a copy of the payroll register to the account payable clerk who updates the accounts payable ledger for wages payable. The payroll clerk then sends a payroll summary to the general ledger. Finally the payroll clerk sends the paycheque to the cash disbursement department, where they are signed and forwarded to supervisors, who distribute them to their respective employee's. The signed copies of the payroll cheque are returned to the payroll department, where they are matched to the payroll register and filed locally. The cash disbarment clerk prepares a list of verified recipients. She sends one copy of the list to the account payable department. The accounts payable clerk uses the list to update the account payable ledger to close out the wages payable account. The cash disbursement clerk sends a second copy of the list of recipients to the general ledger clerk, who reconciles it to the summary report and post to general ledger. Required: a) Prepare a Data Flow Diagram (DFD) to describe the above current process. (9 marks) b) Prepare a System Flowchart to describe the above current process. (10 marks) c) Explain any THREE (3) internal control weaknesses in the system. (6 marks)
Expert Answer:
Answer rating: 100% (QA)
Three weakness of internal system 1 This system works manually so every proces... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Temperature scales in degrees Celsius and Fahrenheit are related linearly. Useful temperature data is that 100 degrees Celsius corresponds to 212 degrees Fahrenheit (water boils) and 0 degrees...
-
Sean has taken over his fathers home loans business, Auzzie Loans Pty Ltd. There are three directors (Sean and his parents), who are also members of the company. When the global financial crisis hit,...
-
It was reported that Exabyte Corporation, a fast growing Colorado marketer of backup tape drives, has decided to purchase key components of its product from others. For example, Sony Corporation of...
-
Develop a data type ResizingArrayQueueOfStrings that implements a queue with a fixed-length array in such a way that all operations take constant time. Then, extend your implementation to use a...
-
Use the data in OKUN.RAW to answer this question; see also Computer Exercise 11.11. (i) Estimate the equation pcrgdpt = (0 + (1 (unemt + ut and test the errors for AR(1) serial correlation, without...
-
What are the basic principles of flexible manufacturing systems. Why do they require major capital investment? Explain.
-
A healthcare home-care firm has a profit margin of 15 percent on visiting nurse sales of $\$ 20,000,000$. If the firm has debt of $\$ 7,500,000$, total assets of $\$ 22,500,000$, and an after-tax...
-
Hernandez Builders has a gross payroll for January amounting to $500,000. The following amounts have been withheld: Income taxes ........... $63,000 Social Security ........... 31,000 Medicare...
-
A company determines that monthly sales S(t), in thousands of dollars, after t months of marketing a product is given by S(t) = 23-551 + 230t+ 160. a) Find S'(1), S'(2), and S'(4). b) Find S''(1),...
-
The following table summarizes the operating results for Bene Petits first year of operations: Bene Petit First year operating data: Single (1 serving) Dual (2 servings) Family (4 servings) Total...
-
Assuming that in government service a police inspector and an armu captain are both accordred a similar pay scale while an army doctior is aid higher . What is teh accepted principle used to...
-
Any pit for which ventilation is not provided below a minor repair garage floor level is considered to be a Class I, ____ location. Group of answer choices a) Division 1 b) Division 2 c) Division 1...
-
Retail is the most familiar channel to most of us. Reminder, Marketing is the process, institutions, and activities that create, communicate, capture VALUE (what you give up for what you get). Pick a...
-
Define fixed cost fallacy and give a business related example. How do you deal with fixed cost fallacy when making decisions?
-
For Questions 26 and 27, assume that two different coastal cities are competing to have their location selected by the Federal Government to build a Major Deepwater Shipping Port for large container...
-
Tiger Words has has four potential PGA Golf broadcasting jobs to consider, each with different salary offers. From highest to lowest, the salaries are: $6 million FOX, $4 million NBC, $2 million CBS,...
-
Design a multithreaded C program to perform matrix multiplication efficiently.
-
Consider the function f and its graph. a. Estimate the zeros of the area function b. Estimate the points (if any) at which A has a local maximum or minimum. c. Sketch a graph of A, for 0 x 10,...
-
Identify the errors in the following bankreconciliation: RAKESTRAW CO. Bank Reconciliation For the Month Ended April 30, 2010 Cash balance according to bank statement Add outstanding checks: $11,320...
-
Grodski Inc. produces and distributes fiber optic cable for use by telecommunications companies. Grodski Inc. issued $24,000,000 of 20-year, 10% bonds on April 1 at their face amount, with interest...
-
Using the data in Exercise 6-10, assume that during the second year of operations Master Plumbing Supply Co. had net sales of $4,200,000, wrote off $60,000 of accounts as uncollectible using the...
-
A food processor claims that at most \(10 \%\) of her jars of instant coffee contain less coffee than claimed on the label. To test this claim, 16 jars of her instant coffee are randomly selected and...
-
Refer to Exercise 4.2. (a) Determine the cumulative probability distribution \(F(x)\). (b) Graph the probability distribution of \(f(x)\) as a bar chart and below it graph \(F(x)\). Data From...
-
Four emergency radios are available for rescue workers but one does not work properly. Two randomly selected radios are taken on a rescue mission. Let \(X\) be the number that work properly between...
Study smarter with the SolutionInn App