19-20

QUES
TION
a.
TRANSACTION-
RELATED AUDIT
OBJECTIVE(S)
b.
TEST OF CONTROL
c.
POTENTIAL
MISSTATEMENT(S)
.
SUBSTANTIVE
PROCEDURE
1 Recorded acquisitions and
payments are for goods
and services received,
consistent with the best
interests of the client
(occurrence).
Observe and inquire
about personnel
performing
purchasing, shipping,
payables and
disbursing functions.
Goods received and
not recorded or
recorded and not
received.
isbursements made
for goods not
received.
!endor statement
reconciliation.
Review of physical
inventory shortages.
" #cquisitions are recorded
on the correct dates
(timing).
$%isting acquisitions are
recorded (completeness).
Observe and inquire
about the procedure
performed by mail
cler&. 'ompare date
mail is received to
date accounting
received
invoices.
(ate recording or
non)recording of
liabilities to suppliers.
!endor statement
reconciliation.
*earch for
unrecorded liabilities.
+ $%isting acquisitions are
recorded (completeness).
#ccount for
numerical sequence
of receiving reports
and determine that all
were recorded.
Receiving reports are
misplaced and
acquisitions not
recorded.
!endor statement
reconciliation.
, #cquisitions are recorded
at the proper amounts
(accuracy).
$%amine cancelled
invoices for indication
of chec&ing for
clerical accuracy.
#cquisitions from
vendors are recorded
at improper amounts.
-est e%tensions,
footings, discounts,
and freight terms on
vendors. invoices.
/ #cquisition transactions
are properly classified
(classification).
$%amine indication of
approval.
#cquisitions are
recorded in the wrong
account.
$%amine supporting
invoice for
reasonableness of
accounting
distribution.
0 1ayments are recorded on
the correct dates (timing).
$%isting payments are
recorded (completeness).
Observe whether the
system automatically
posts chec&s when
they are prepared.
'hec&s are disbursed
and not recorded.
$%amine chec&s
clearing the ban&
prior to year)end to
determine that they
were recorded in the
cash disbursements
2ournal prior to year)
end.
3 #cquisitions are for goods
and services received,
consistent with the best
interests of the client
(occurrence).
$%amine invoices for
which chec&s have
been disbursed to
determine that they
have been cancelled.
4nvoices are recorded
and paid more than
once.
$%amine vendor
statements, noting
any unrecorded
payments appearing
on the statement.
5 Recorded cash
disbursements are for
goods and services
actually received
(occurrence).
Observe and inquire
about the handling of
chec&s from the time
they are mailed to
suppliers.
'hec&s are disbursed
and no merchandise
is received. 'hec&s
are received by other
than the supplier for
whom they are
intended.
-race chec&s to
supporting invoice
and determine
reasonableness of
e%penditure.
Reconcile vendors6
statements.
19-22
a. 7ere are advantages for purchasing raw material 2ewelry items online through supplier 8eb sites9
Increased Product Selection. onnen esign purchasing personnel may be able to locate new
products only offered through the 4nternet that they may not be able to obtain through normal
purchasing channels.
Faster Delivery of Purchases. :ecause onnen esign purchasing agents may be able to purchase
raw material 2ewelry items with company credit cards, shipment of the products to onnen warehouses
can occur at the point of sale. -hus, raw materials may be received by onnen more quic&ly.
More Product Information. ;ost 2ewelry suppliers post pictures of the products for sale on the 4nternet.
-hus, onnen purchasing personnel may have greater opportunities to pre)screen items before
purchase than they do through traditional ordering sources.
b. 7ere are potential ris&s associated with online purchases of raw material 2ewelry items9
Unauthorized Purchases Using Donnen Credit Cards. Given that all online sales must be made using
a company credit card, purchasing agents may have an opportunity to ma&e unauthori<ed purchases
that are charged to onnen credit cards but shipped to purchasing agent addresses.
Privacy Protection for Donnen Credit Cards. :ecause the reputation of the online vendors is un&nown,
there is some ris& that onnen credit card information will not be adequately protected by vendors
from unauthori<ed use.
Inconsistent Product Quality. :ecause onnen purchasing agents will be buying products from a wide
variety of new vendors, they have less information about product quality across vendors. #s a result,
the quality of the products purchased may vary e%tensively.
Reliability of Sulier. :ecause onnen purchasing agents will be buying products from a wide variety
of new vendors, the reliability of those suppliers may vary e%tensively. -here is no certainty that orders
placed with each vendor will be processed completely and accurately.
c. -he primary advantage of allowing onnen esign purchasing agents to acquire products using
company credit cards is that the products will be shipped and delivered on a more timely basis than if they
pay by company chec&.
d. -he primary advantages of restricting purchases to only those that can be paid by company chec&
are that it (1) decreases the ris& that onnen personnel use company credit cards to ma&e unauthori<ed
purchases and (") decreases the ris& that online vendors fail to adequately protect onnen credit card
information.
e. *uggested internal controls9
1. -o prevent purchasing agents from ma&ing unauthori<ed purchases of non)2ewelry items using onnen
credit cards, the company could9
Request through the credit card agency that only selected types of products are authori<ed for
purchase (for e%ample, the credit card would not be allowed for any services, such as travel, food,
hotel, etc).
*end all credit card billing statements directly to accounting for reconciliation to receiving reports
of inventory products.
*eparate credit cards may be issued to purchasing personnel with pre)specified spending limits.
". -o prevent purchasing agents from ordering 2ewelry items for shipment to an agent6s home address,
the company could9
*end all credit card billing statements directly to accounting for reconciliation to receiving reports.
Only allow purchases from selected online vendors whose policies indicate that products may only
be shipped to the credit card billing address (which would be a onnen esign address).
+. -o prevent a buildup of unused credits with online vendors for returned goods, the company could9
Only allow purchases from selected online vendors whose policies indicate that products may be
returned for credit to the credit card account.
1re)screen product quality from all vendors before authori<ing the use of that vendor for online
purchasing.
$stablish purchasing limits for each online vendor so that the amount of purchases at a single
vendor are not e%cessive.
a. :eri&ut adalah &euntungan untu& pembelian barang)barang perhiasan bahan ba&u secara
online melalui situs web pemaso&9
1ening&atan 1emilihan 1rodu&. onnen esain personil pembelian mung&in dapat
menemu&an produ&)produ& baru hanya ditawar&an melalui internet bahwa mere&a mung&in tida&
dapat memperoleh melalui saluran pembelian normal.
1engiriman cepat 1embelian. =arena onnen esain agen pembelian mung&in dapat membeli
barang)barang perhiasan ba&u material dengan &artu &redit perusahaan, pengiriman produ& &e
onnen gudang dapat ter2adi pada titi& pen2ualan. engan demi&ian, bahan ba&u dapat diterima
oleh onnen lebih cepat.
(ebih 4nformasi 1rodu&. =ebanya&an pemaso& perhiasan mengirim gambar produ& untu& di2ual
di 4nternet. engan demi&ian, onnen personil pembelian mung&in memili&i peluang lebih besar
untu& pra)layar item sebelum membeli daripada yang mere&a la&u&an melalui sumber)sumber
pemesanan tradisional.
b. :eri&ut adalah potensi risi&o yang ter&ait dengan pembelian online barang)barang perhiasan
bahan ba&u9
1embelian sah ;engguna&an =artu =redit onnen. ;engingat bahwa semua pen2ualan online
harus dila&u&an dengan mengguna&an &artu &redit perusahaan, agen pembelian mung&in
memili&i &esempatan untu& mela&u&an pembelian yang tida& sah yang dibeban&an onnen &artu
&redit tetapi di&irim &e alamat agen pembelian.
1erlindungan 1rivasi untu& =artu =redit onnen. =arena reputasi vendor online tida& di&etahui,
ada beberapa risi&o bahwa informasi &artu &redit onnen tida& a&an cu&up dilindungi oleh vendor
dari penggunaan yang tida& sah.
&onsisten =ualitas 1rodu&. =arena onnen agen pembelian a&an membeli produ& dari
berbagai vendor baru, mere&a memili&i sedi&it informasi tentang &ualitas produ& seluruh vendor.
#&ibatnya, &ualitas produ& yang dibeli dapat bervariasi secara luas.
=eandalan *upplier. =arena onnen agen pembelian a&an membeli produ& dari berbagai
vendor baru, &eandalan mere&a pemaso& dapat bervariasi secara luas. :elum ada &epastian
bahwa pesanan ditempat&an dengan masing)masing vendor a&an diproses secara leng&ap dan
a&urat.
c. =euntungan utama yang memung&in&an onnen esain agen pembelian untu& memperoleh
produ& yang mengguna&an &artu &redit perusahaan adalah bahwa produ& a&an di&irim dan
disampai&an secara lebih tepat wa&tu daripada 2i&a mere&a membayar dengan ce& perusahaan.
d. =euntungan utama membatasi pembelian hanya mere&a yang dapat dibayar dengan ce&
perusahaan adalah bahwa hal itu (1) mengurangi risi&o bahwa personil onnen mengguna&an
&artu &redit perusahaan untu& mela&u&an pembelian yang tida& sah dan (") menurun&an risi&o
bahwa vendor online gagal melindungi secara memadai informasi &artu &redit onnen.
e. isaran&an pengendalian internal9
1 >ntu& mencegah agen pembelian dari membuat pembelian yang tida& sah dari barang)barang
non)perhiasan mengguna&an &artu &redit onnen, perusahaan dapat9
1ermintaan melalui agen &artu &redit yang hanya dipilih 2enis produ& berwenang untu&
pembelian (misalnya, &artu &redit tida& a&an dii<in&an untu& layanan apapun, seperti per2alanan,
ma&anan, hotel, dll).
=irim semua tagihan &artu &redit secara langsung dengan a&untansi re&onsiliasi untu&
menerima laporan dari produ& persediaan.
&artu &redit terpisah mung&in di&eluar&an untu& membeli personil dengan pra)ditentu&an batas
pengeluaran.
" >ntu& mencegah agen pembelian dari memesan barang)barang perhiasan untu& pengiriman &e
alamat rumah agen, perusahaan dapat9
=irim semua tagihan &artu &redit secara langsung dengan a&untansi re&onsiliasi laporan
menerima.
7anya memung&in&an pembelian dari vendor online yang dipilih yang &ebi2a&annya
mengindi&asi&an bahwa produ& hanya dapat di&irim &e alamat penagihan &artu &redit (yang a&an
men2adi alamat onnen esign).
+ >ntu& mencegah penumpu&an &redit yang tida& terpa&ai dengan vendor online untu& barang
&embali, perusahaan dapat9
7anya memung&in&an pembelian dari vendor online yang dipilih yang &ebi2a&annya
menun2u&&an bahwa produ& dapat di&embali&an untu& &redit &e re&ening &artu &redit.
&ualitas produ& 1re)screen dari semua vendor sebelum otorisasi penggunaan vendor yang
untu& pembelian online.
;enetap&an pembelian batas masing)masing vendor online sehingga 2umlah pembelian di satu
vendor tida& berlebihan.