You Are Conducting the Audit of a Medium-Sized Company That

question 72

Essay

You are conducting the audit of a medium-sized company that has a chief accountant and three employees.Segregation of duties is excellent,with jobs allocated to provide maximum levels of controls.Segregation is supported by accounting software with user identification and passwords that limit functions to the appropriate jobs.
Required:
A)What type of audit approach would you recommend? Why?
B)How would your answer change if the accounting department was organized on a job-sharing basis so that all employees did some of every task to keep the work more interesting? Why?

• A)What type of audit approach would you recommend? Why?
• B)How would your answer change if the accounting department was organized on a job-sharing basis so that all employees did some of every task to keep the work more interesting? Why?

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Definitions:

Schizotypal Personality Disorder

A psychiatric syndrome featuring pronounced anxiety in social contexts, muddled thinking, paranoid tendencies, a sensation of being unreal, fleeting psychotic moments, and often distinctive beliefs.

DSM-5

The Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, a comprehensive classification system for mental disorders developed by the American Psychiatric Association.

Schizophrenia Spectrum Disorders

A range of disorders characterized by symptoms such as delusions, hallucinations, disorganized speech, and cognitive impairment.

Personality Disorders

Mental health conditions characterized by patterns of thought, feeling, and behavior that are significantly different from what is considered normal, causing distress or impaired functioning.