Dogs N Thang Case Study

This letter is to address concerns we came across while auditing the financial materials of Dogs N’ Thangs Company:

1. Internal Controls require Segregation of Duties
2. Assets require more protection

Segregation of Duties

Segregation of Duties is a crucial component for a business to have effective internal controls. In general, custody of assets, authorization or approval of related transactions affecting those assets, and recording or reporting of related transactions, require segregation of duties. The current routine that Dogs N’ Thangs follows, does not have the procedures that consist of a strong internal control. Having only one employee responsible for all related cash account movement can expose the company to human error. Giving