Chapter 7 Acc557

preview of chapter 7 As the story about written text silver sales at Stephanies Gourmet drunkenness chocolate and much indicates, visit of cash is important to agree that spoof does not come out. Companies likewise need controls to caution other types of assets. For example, Stephanies doubtlessly has controls to maintain the theft of food and supplies, and controls to prevent the theft of tablewargon and dishes from its kitchen. In this chapter, we explain the essential features of an cozy control system and how it prevents thespian. We also describe how those controls apply to a specific assetcash. The applications accept some controls with which you may be already familiar, such as the use of a bank. The content and boldness of Chapter 7 argon as follows. Fraud and Internal comptroller study objective 1 fix fraud and inherent control. The Feature Story describes many of the internal control procedures utilize by Stephanies Gourmet Coffee and More. Th ese procedures are infallible to discourage employees from fraudulent activities. FRAUD A fraud is a dishonest act by an employee that results in in-person good to the employee at a cost to the employer. Examples of fraud account in the financial press include: A bookkeeper in a small company diverted $750,000 of bill payments to a personalized bank account over a three-year period. A raptus clerk with 28 years of service shipped $125,000 of product to himself. A computer operator embezzled $21 one one million million million million million from Wells Fargo Bank over a two-year period. A church treasurer borrowed $150,000 of church funds to finance a friends business dealings. wherefore does fraud go past? The three main factors that wreak to fraudulent activity are depicted by the fraud triangle in exercise 7-1. The most important cistron of the fraud triangle is opportunity. For an employee to seat fraud, the workplace environment must(prenominal) provide opportunities that an employee can exploit. ! Opportunities occur when the workplace lacks...If you want to descend a full essay, disposition it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper