Vendor Master Data File Control - Review Background 1. As part of the month end (external) financial reporting close process, the AP Supervisor runs a: (a) Vendor Master Data File ADDITIONS Report, and (b) Vendor Master Data File MODIFICATIONS Report. She prints a screen shot of the previous month's last five dated transactions and a screen shot of this month's first five dated transitions. 2. (S)he obtains the Vendor Master Data File Information Packets [Packet] - consisting of a fully executed and approved Vendor Master Data File Form supported by the TIN check, IRS Form W-8/9, and other required support - for additions and modifications that were generated for the month. (S)he places the v tickmark by every addition or modification that has a supporting Packet. (S)he places the 0 tickmark by every addition or modification that is not supported by a Packet, indicating it has been selected for further review. 3. (S)he visually scans each report looking for unusual or unfamiliar transactions, inclusive of repetitive entries made to the same vendor; (s)he places the tickmark 0 by each indicating it has been selected for further review. 4. (S)he then judgmentally selects 6 additions and 6 modifications, and randomly selects 6 additions and 7 modifications (a total of 25); (s)he places the tickmark 0 by each indicating it has been selected for further review. 5. Describe here what the AP Supervisor looks for and/or does to each Packet selected to ensure it is valid, accurate, complete, and authorized. [See Linking Financial Statement Assertions reference] ANSWER:\f\fQUESTIONS 1. Considering the existence and occurrence financial statement assertions: a. What do you think could go wrong (WCGW) - in terms of an input error or fraud - at this juncture? b. Does the control address all WCGW concerns - in terms of an input error or fraud? i. If not, rewrite the control to address this omission. ANSWER: 2. What is the control precision (i.e. dollar amount of error that it will detect?) ANSWER: 2 Icing the central tunes described in the taythank and/or lecture nawar point what "tunall of central is3. Using the control types described in the textbook andfor lecture power point. what "type\" of control is this? Remember that a single control can fall under several types, so list all that apply. ANSWER: Page 3