This website uses cookies to ensure you have the best experience. Learn more

Acc 504 Case Study 2

834 words - 4 pages

| 2013 |
| FGI Consulting
|

[LJB Company] |
This document is prepared for the President of LJB Company. Recommendations for IPO planning and Internal Control review to meet current status and carried over when the company is a publicly traded company. Controlled document 1A3872013 |

In this document recommendations are presented for consideration for the current and future internal controls of the company and for the planning of its IPO.
IPO
It is important to understand that good governance demonstrated is a requirement under the Sarbanes-Oxley Act of 2002 for publicly traded companies through maintaining an adequate system of internal controls. The executives and Board of ...view middle of the document...

These days, companies going public should expect to pay more and can reach upwards of $2 million in out of pocket expenses in some cases to cover a host of fees – among them legal, printing, listing, filing -- in addition to the underwriter discount and commission of the offering proceeds and to shore up internal processes to meet the tougher reporting and governance standards for public companies. (Inc.com, Elizabeth Wasserman, 2010).
Since the company has several features in place, improving them and becoming Sox Act compliant will help greatly in initial costs while developing a robust internal control system that is sustainable. If the company intends to print its own pay checks and company checks for accounts payable and vendor services, the indelible ink printer will be a great security application of internal control of producing checks in house. This operation will have to be limited in access to the accounting department along with the disbursement activities such as pay checks. Segregation of duties will have to be well established and documented so as to insure accountability by the parties assigned as the current accountant and/or accounting staff by name.

Internal Controls
Although some internal controls are in place now, the above noted sections of the Sox Act particularly apply here and will insure compliance with the laws and regulations, while protect the company’s assets and increasing efficiency of operations, which investors and lenders look for.
As the company is using Pre-numbered invoices, which gives great capability and tractability in control, should be extended to numbered...

Other Essays Like Acc 504 Case Study 2

Case Study 2

838 words - 4 pages Strategic Analysis Developing a Competitive Profile Matrix for McDonald’s Corporation As I compared the data in the Cohesion Case between McDonald’s (MCD), Burger King Holdings, and Yum! Brands Inc. it was obvious that MCD’s out ranked both of their competitors financially and by company volume. MCD serves over sixty million customers on average per day. MCD’s shareholders received five million one hundred thousand dollars in returns

Case Study 2

2073 words - 9 pages ------------------------------------------------- Case Study 2 Brittany Klinkel Rasmussen College- Moorhead Module 04 Case Study: Bone Tissue Part I— “Marissa” Questions 1. Describe bone tissue and the role each component plays in bone physiology and remodeling. What is the difference between compact and spongy bone? (2 points) Bone tissue is found throughout the body and there are four types of bone tissue. These

Case Study 2

818 words - 4 pages Case Study 1 Springfield Express is a luxury passenger carrier in Texas. All seats are first class, and the following data are available: Number of seats per passenger train car 90 Average load factor (percentage of seats filled) 70% Average full passenger fare $ 160 Average variable cost per passenger

Case Study 2-Acc504

1576 words - 7 pages Case Study 2: DATE:    October 6th, 2013 To,   The President LJB Company SUBJECT:        The need for Internal Controls We would like to thank you for the opportunity provided to us in evaluating the internal control systems of your company. As you know, internal control systems are paramount to securing the assets of any company or organization. In your case Control System will play an important role in limiting the risk of

Case Study 2 - 2198 words

2198 words - 9 pages Case Study 2 Jessica Adkins Liberty University February 7, 2016 Performance Appraisals Mrs. Howell will be unable to use the information found within the performance appraisals to decide which employees should be discharged. This is due to the managers failing to complete the appraisals properly. A performance appraisal is defined as “the identification, measurement, and management of human performance in organizations (Luis R. Gomez

Case Study #2 Albatross Anchors

1229 words - 5 pages product storage, the foundry and administrative offices. Their manufacturing facility is antiquated, worn, and technology deprived and no longer meets the US safety and environmental standards. Question 1 Carefully review the assignment scenario/case study. From the limited information in the scenario/case study, identify at least three direct and specific long-term and three direct and specific short term operations changes that Albatross

Case Study 1, Project 5, Fi 504

864 words - 4 pages Chapter 16 Question #5 Worker are always coming and going in a healthy economy. Many Americans are going to always look for a better job or better opportunity. More than often they will stay unemployed until whatever situation comes first. One of three reasons for the unemployment in the US is what is called frictional unemployment. Frictional Unemployment is a time period when people are transiting from one job to the other or even searching

Psych Foundation of Growth Development and Learning Case Study - Age Group 2 Years Old

2097 words - 9 pages CASE STUDY Ivina Russell Age group two years old GED 201 XM: Psych Foundation of Growth Development and Learning Prof. Yomi Ajaiyeoba Fall 2009 1. GENERAL INFORMATION a. Physical Description: Give a complete physical description of the child. Discuss height and body build in comparison with other children the same age, and any other distinguishing features. D.D. is a male child, age two years old he is medium built and his

Bp Case Study 2

859 words - 4 pages everyone who has donated an adequate[2]e amount of National Insurance for a sufficient number of years. The individuals who work and receive more that £97.65 per week are entitled to pay National Insurance. However if one gets less that £97.65 per week does not need to pay National Insurance, but in the case of having other benefits, one will still receive the basic state pension. It is recognized that each year of that payments accounts as a

Case Study 2 - 744 words

744 words - 3 pages The biggest provision that the German delegation seemed particularly interested in was the idea of reparations that needed to be repaid to both the European nation and the United States. “The amount of such compensation is to be determined by a commission nominated solely by Germany's enemies, Germany taking no part” (Wilson, 1919). The problem they came across was that not only did Germany have to agree to pay an indemnity; however, the amount

Pinnacle Case Study 2

970 words - 4 pages Pinnacle Case Project: Part 2 1. a. Likelihood of financial difficulties: The two articles mentioned bring up concerns over whether Pinnacle can rely on sales of solar powered engines. These articles imply that Pinnacle may not have the capabilities needed to perform well in that industry. Also, if EPA regulations are postponed, Pinnacle’s customers will not have as much reason to switch to solar powered engines. b. Acceptable Audit Risk

Related Papers

Case Study 2 Acct 504

1018 words - 5 pages Case Study 2- Internal Control Improving LJB Company Internal Control ACCT 504 Felix M. Fair October 6, 2012 Table Of Contents: 1. Introduction pg. 3 2. Proper Development of Internal Control pg. 3 3

Accounting 504 Case Study Budgeting

577 words - 3 pages ACCT504 Case Study 3 on Cash Budgeting The cash budget was covered during Week 4 when we covered TCO D and you read Chapter 7. There is also a practice case study to work on. Your Professor will provide the solution to the practice case study at the end of Week 5. This case study should be uploaded by 11:59PM Mountain time of the Sunday ending Week 6 to the Week 6 Assignment Dropbox. You are encouraged to use the Excel template file provided

Acct504 Case Study 2

639 words - 3 pages Case Study 2 ACCT504 – Accounting Finance: Managerial Use and Analysis Elder Boullosa San Martin Prof. Doris Lombard February 6, 2016 CASE STUDY 2 1 Situation A In evaluating the internal control over inventory for the Williams Oil Services Company, an auditor learns that the warehouse receiving clerk is responsible for ordering parts for supply inventory use in drilling services, counts the inventory when received at the

Case Study 2 959 Words

959 words - 4 pages BIOL 2010: A Case Study in Osmosis Carol had butterflies in her stomach as she checked her appearance in the mirror hanging in the staff lounge. Her long hair was neatly pulled up in a ponytail and her nurses’ scrubs were clean and pressed. She exited the staff lounge and entered the hustle and bustle of County Hospital’s ER to begin her first shift as an RN. The first few hours of her shift passed slowly as Carol mostly checked vital signs