Required:
Complete TB Figure 12.9 by replacing one of the numbers, 1 through 15 from the above lists, for each square showing a missing item.
139. The following is a list of 12 control plans.
Control
Plans
A.
Populate input screens with master data
G.
Approve purchase orders
B.
Programmed edit checks
H.
Confirm purchase order to requesting department
C.
Approve purchase requisitions
I.
Digital signatures
D.
Requisition audit data
J.
Enter receipt data in receiving department
E.
Use authorized vendor data
K.
Independent authorization to record receipt
F.
Compare vendors for prices, terms, quality, and product
availability
L.
Inspect goods
Required:
Listed below are 10 system failures that indicate weaknesses in control. On the answer line to the left of each description, insert the capital letter
(from the list above) of the best control plan to address the system deficiency described. A letter should be used only once. Two letters will not be
used.
1.
Ordered goods are often of a different quality and price than requested.
2.
Data on the RFID tags are not compared to the existing purchase order to ensure that we have received the goods that
we ordered.
3.
Purchase orders are sometimes prepared on the basis of purchase requisitions from departments with no budget to pay
for the ordered goods.
4.
The computer does not automatically identify erroneous or suspect data on purchase orders before they are printed for
signing and mailing.
5.
Inventory is being discarded or sold at a reduced price due to damage or quality issues.
6.
Bill the buyer often prepares purchase orders for vendors owned by his relatives.
7.
Clerks in the purchasing department enter purchase order data from forms given to them by the buyers. They spend a
considerable amount of time typing in the vendor name and address, and item descriptions and prices.
8.
The vendor has no way of knowing if the electronic purchase order was sent by authorized personnel of the buyer.
9.
The purchasing manager has not informed the requisitioning department in a timely manner to let them know that their
requests were processed.
10.
Certain vendors have been favored in the selection process.
1.
F
2.
K
3.
C
4.
B
5.
L
6.
E
7.
A
8.
I
9.
H
10.
G
140. TB Figure 12.11 is a partial flowchart for the purchasing process. There are selected symbols that must be
filled in to complete the flowchart. Fill in the items with missing labels using a letter from A to J.
A.
Enter approval (for PO)
B.
Enterprise database
C.
Enter requisition data
D.
Exception routine not shown
E.
Requisition approval screen
F.
Enter approval (for requisition)
G.
PO input screen
H.
Requisition screen with vendor candidates
I.
Edit input and record PO
J.
Edit input and record requisition
141. TB Figure 12.13 is the annotated systems flowchart for the purchasing process. TB Figure 12.14 is the
related control matrix. Following the control matrix is a description of the first control plan, P-1.
Required:
Using the format shown for control plan P-1, write descriptions for control plans P-2 through P-6.
