Internal Accountant's Report to Management
Internal Accountant’s Report to Management ACCT 556
As the internal accountant of the European Newspaper Company, I have to perform various financial operations, and I am considered the expert in this field. As we all are faced with preparation for the upcoming government contract bid, we need to have a better understanding of how our company runs the business and issues that we can face if we enter into this contract. It is vital to visualize the actual impact of occupational fraud and abuse in the company. We also need to know how the US government oversees the accounting fraud and abuse and its affect on the company. What …show more content…
Section IV Recommendation of types of accounting evidence and methods of gathering such evidence to support the financial status review
To support the financial status review, there are four types of evidence that required completing a review of accounting evidence that are: 1. The assessment of financial management and internal controls. 2. The review of the restructuring plans 3. Analyzing the business plan 4. Operational review In this framework, the evidence can be gathered using different methods such as vouching relevant cash receipts and disbursements, reviewing periodic statements from the funds and the amounts recorded by investor, transaction acknowledgements and other documentary evidence, reviewing the legal contracts and agreements, monitoring telephone calls of management to key persons, and finally reviewing the records of management visits. Generally, the quality of evidence received should be balanced with the amount of evidence collected. There are different methods to gather evidence related to the financial status review such as detail testing, analytical procedures, inspecting, reconciliation, inquiry, observation, confirmation, and physical examination.