The fundamental reason George couldn 't ditch his wallet is because most of his favorite retailers do not subscribe to his service provider 's payment system. While in Japan and countries like China, South Korea, and India, corporations have been developing partnerships between multiple entities and standardization on the mobile payment platform, the United States hasn 't adapted this method as successfully as it could. According to Gartner, the mobile payment market will increase from $171 billion in 2012 to $646 billion in 2017 worldwide, but the United States only shares 14% in the global payment market and expected to remain the same for the next 5 years. The growth in the market is so significant, there are many stakeholders striving for a share of it. However, instead of cooperating with the service providers and handset vendors, and standardizing the system, the players compete with each other by developing their own technologies, such as Bluetooth Payment System, Closed Loop Mobile Payments, and Cloud-based mobile payment platform. Service providers see the opportunities and try to take advantage of the technology by charging an exchange fee for every transaction made. In order to avoid the exchange fee, retailers have no choice but owning their own payment network. Therefore, George 's new Google Nexus phone couldn 't be used for all these different payment system, and he is stuck with paying the old-fashion way - credit cards.…
Willie Lowman is the internal auditor for Dead Salesman Printing who is currently in the process of auditing the company’s account receivables. He finds that the company is constantly crediting and debiting accounts receivable. The accounts receivable clerk who is a CPA has been entering debits and credits on the A/R account on a regular basis, and at this stage they don’t know how many credits are valid or to what extent they are valid. Willie has also found that the A/R department is significantly understaffed which means that they do not have the staff and/or resources to verify the extent and validity of customer claims. Willie has found many instances especially in large accounts where the customer alleges a claim for flaws in the books received, and pays less than the original invoice. The short payments from these customer’s is not being credited to the original invoices. The payments in fact are being credited to receivables from prior impaired transactions. The CFO of the company has told the A/R department to effectively treat all invoices as collectible and “to apply payments to carried-over balances. The CFO has stated that the customer’s claims lack basis. The CFO receives a bonus based upon the profitability of the company. Willie has approached the CFO and told him that the application of payments in accounts receivable are misguided and must change. The CFO has stated that “he can’t do that (make any changes)”. In addition the CFO has made a veiled threat to Willie, stating “who…
The main objective of this lab was to observe the activity of enzyme peroxidase in real time under different experimental conditions. To see how peroxidase reacts with its substrate guaiacol under different conditions. We measure the amount of substances per test tube and then combine all of them together. Each test tube contains a measured amount of any listed substances including H₂O. Each measured amount of peroxidase along with its substrate guaiacol, and other listed substances will show how actively the enzyme oxidizes the substrate. To measure the…
In order to create a functional customer service plan, there are several key steps that both small and large businesses must address.…
When auditing a publicly held company, auditors need to observe principles. The ethical principles of the American Institute of Certified Public Accountants (AICPA) Code of Professional Conduct are independence, responsibilities, the public interest, integrity, objectivity and independence, due care, and scope and nature of services. More specifically, audit team members are required to be objective and independent with regard to the audit by maintaining objectivity and being free of conflicts of interest in discharging professional responsibilities and by being independent in fact and appearance when providing auditing and other attestation services. Through this one can see how influential the SEC is. Under the Sarbanes-Oxley Act of 2002, auditors have to be objective and independent otherwise legal sanctions can be incurred.…
Q2. Tamira has a responsibility as accountant for Picton to accurately complete the accounting cycle for Picton and to prepare the financial statements in a true and accurate manner, so that a third party can be confident in and rely upon them to make financial decisions. I would not have responded as she did. First of all, twenty-four hours to complete a year’s worth of adjusting entries and prepare financial statements to be relied upon by the bank to make a major financing decision regarding the company is not enough time; and even more importantly, honesty and integrity are vital in the accounting field. Tamira was not honest with the President about the way she prepared the financial statements. In my opinion, this was extremely unethical, because she estimated the expenses of the company in such a way that it could have resulted in an inaccurate picture of Picton’s financial health as a company. If I were in Tamira’s situation, I would first speak with the President and tell him that what he needed could not possibly be accomplished in 24 hours. Then I would…
At this point I don’t know where we go from here. All I can do at this point is again suggest that since the validity of the financial reconciliation report is being questioned, we should follow in the steps that we need to request assistance or an independent CPA to conduct a review of last years…
Junction city is a rapidly growing community that has seen a wide amount of change over the past few year. The growth of the town has resulted in a shift of the balance to a more of a Hispanic community due to the local industry. For the town of Junction city the summer always brings in different people for all walks of life with tourism of the ocean and the beaches. Since being in a recession, the amount of sworn officers that the town has has dropped down to the low level of just 100. With having only that many officers and with the boom of tourism there are going to be problems that are created and the officers are being put with an unmanageable caseload of work. Since being appointed the new chief of police it is the sworn duty of the chief of police of Junction city to come up with a viable plan as to what can be done to improve morale within the department and what options are available to help the officer out.…
The audit committee is not directly checking the financial statements for irregularities. The eighth tenant of the Audit Committee Policy reads that the audit committee must review financial statements for unusual transactions. Currently, the CEO, Chris Reddy, is performing financial statement evaluations without the oversight of the audit committee. The aforementioned control weakness lends itself to possible fraud risk. The CEO is under pressure to perform on behalf of the shareholders, and Mr. Reddy’s oversight of the financial statements creates an opportunity to misrepresent the performance of Alchemy Inc. Our recommendation is that the Internal Audit department sends the financial statements directly to the Audit Committee for review. The recommendation can be implemented at no additional cost to Alchemy Inc.…
Cubbies Cable is a family owned regional company, it is not ethical for CPA to ‘horse trade’ when dealing with a client about the proper GAAP in the particular issue, which GAAP must adhered to a company distributes its financial statements, where a firm’s stock is publicly traded and it must be audited by an independent CPA firm. The CPA has to follow Code of Ethics and Standards of Professional Conduct, which set out professional and ethical standards with honesty, confidentiality, independence, integrity, objectivity, and responsibility (CFA 2015). The CPA can use materiality consideration to negotiate with clients about whether the auditor filtrates immaterial issues and other issue that must be corrected.…
Up to this point the CFO had never been a part of the MRP process request, but my director insisted that the MRP was created and executed as requested. I created, ran the job and supplied the requested data requested by the CFO. About a week later a request to create different versions of the MRP jobs needed to be processed each night for four nights. The request originated from the CFO and the described purpose was for another “presentation”. I asked the MRP forecaster why we needed the MRP runs and if he knew we were completing these tasks for the CFO. The forecaster told me that he was well aware and was directed to make the forecasts based on the CFO’s input. The CFO was working on the data for upcoming corporate internal audit and an IRS audit. The CFO was having us run different scenarios to see which one would have the best forecast and work with the numbers he was…
The Nest by Cynthia D’Aprix Sweeney is an adult fiction about family dynamics. This novel was this months pick for my book club. Hopefully not to many of my book club ladies will read this before we get together. I’m going to be honest here. I was not impressed by this book. I stumbled across this book some time ago, but wasn’t interested. But isn’t that part of what book club is about? Picking up books you normally wouldn’t have.…
It is my opinion that a full financial status review would be in the best interest of the Company. We have taken pride in the fact that we qualify for Government contracts. We should not let anyone else find any fault within our Company. In conducting such a review, we would be able to thoroughly examine aspects of not only our control systems but our personnel and practices. Through a full financial status review we will also be able to determine if there is any fraud or abusive actions being enacted against the Company.…
2. Suppose that a company uses one or more of the practices that you identified in responding to the previous question. What implications, if any, do those practices have for the companys independent auditors?…
6. CEO Jeffery Skilling made the company appear more profitable than it really was. He did this through “Market to Market accounting”.…