Audit Assignment 2
COMPANY’S PROFILE
The company that we have chosen for this assignment is Inflex Sdn Bhd. The company is a manufacturer of closed cell rubber insulation tubing and sheeting for air-conditioning, heating, and the refrigeration industry. The company also manufactures plastic polymer products. Some of the company’s products are insulation tape, adhesive, elastomeric paint, cutting blades, and other accessories.
The company has more than 30 years of passion and experience in insulation manufacturing. With the compliance to ISO 2009 and many other convincing factors, Inflex Sdn Bhd provides their clients with excellent quality insulation products. The company’s main office is at Bangi and it has factories operated in both Kapar and Bangi.
Other than the quality of their products, the company took an ozone friendly approach in their product manufacturing, to help to care for our next generation. This is part of the corporate social responsibility done by the company.
OVERVIEW
It is the company’s management responsibility to maintain an adequate accounting system and proper internal controls of the company. An accounting system with effective internal control can help the in prevention of fraud and error, which is also the responsibility of the company’s management.
From the International Standards of Auditing, (ISA400 – Risk Assessment and Internal Control), paragraph 7, accounting system is defined as “the series of tasks and records of an entity by which transactions are processed as a means of maintaining financial records. Such system identifies, assemble, analyse, calculate, record, summarise, and report transactions and other events."
From the ISA400 also, internal control is defined as “all the policies and procedures adopted by the management of an entity to assist in achieving management’s objective of ensuring as far as practicable, the orderly and efficient conduct of its business, including adherence to management policies, the
The company that we have chosen for this assignment is Inflex Sdn Bhd. The company is a manufacturer of closed cell rubber insulation tubing and sheeting for air-conditioning, heating, and the refrigeration industry. The company also manufactures plastic polymer products. Some of the company’s products are insulation tape, adhesive, elastomeric paint, cutting blades, and other accessories.
The company has more than 30 years of passion and experience in insulation manufacturing. With the compliance to ISO 2009 and many other convincing factors, Inflex Sdn Bhd provides their clients with excellent quality insulation products. The company’s main office is at Bangi and it has factories operated in both Kapar and Bangi.
Other than the quality of their products, the company took an ozone friendly approach in their product manufacturing, to help to care for our next generation. This is part of the corporate social responsibility done by the company.
OVERVIEW
It is the company’s management responsibility to maintain an adequate accounting system and proper internal controls of the company. An accounting system with effective internal control can help the in prevention of fraud and error, which is also the responsibility of the company’s management.
From the International Standards of Auditing, (ISA400 – Risk Assessment and Internal Control), paragraph 7, accounting system is defined as “the series of tasks and records of an entity by which transactions are processed as a means of maintaining financial records. Such system identifies, assemble, analyse, calculate, record, summarise, and report transactions and other events."
From the ISA400 also, internal control is defined as “all the policies and procedures adopted by the management of an entity to assist in achieving management’s objective of ensuring as far as practicable, the orderly and efficient conduct of its business, including adherence to management policies, the
References: * Boh M. Messier, Glover, Prawitt. 2007. Auditing and Assurance Services in Malaysia (Third Edition) – Mc-Graw Hill (Malaysia) Sdn. Bhd. * http://basiccollegeaccounting.com/internal-control-the-importance-of-segregation-of-duties/ * http://74.125.153.132/search?q=cache:kPz_2PfT6v0J:www.auditnet.org/docs/PayrollPersonnelCycleAP.doc+payrollpersonnelcycleAP&cd=1&hl=en&ct=clnk&gl=my * http://searchcrm.techtarget.com/definition/sales-cycle * http://ezinearticles.com/?Identifying-The--Stages...Sales-Cycle * http://blog.econsultant.com/seven-stages-of-a-typical-sales-cycle