United Way & Goodner Bros Audit Case Study

3.3 United Way 1.There are several fundamental and streamlined internal keep in lines that would relieve oneself saved these charities millions of dollars. The first-year being in the main that executives within these organizations should non drop total control over their respective financial functions. several(prenominal) of these fraudsters had complete control in that they would receive the donation checks, drop dead them by endorsing them, and then likewise having control over the financial records necessary to account, or not, for the donations. A simple control would have been a separation of duties such as psyche who receives the checks should not have the function of excessively recording these entries in subordinate or general ledgers. Having custody, authorization, and control over recording of donations makes it whole too easy for veritable checks to disappear. A control would be to have two or more different hatful open checks, create remitt ance lists of all the checks they received, they then lapse these lists to someone else and the people who postulate the checks then brings back the fixate slip with the deposit measuring which can then be verified by someone else against the remittance listings. Accountants or bookkeepers should neer handle cash or checks at any point in time within the revenue and assembling cycles.

excessively these charities CEOs and boards should establish a cipher of conduct etc that treats fraud passing harshly and it is a looking at that should be pick out by top executives and then it would encounter through the sympathy 2.I do not feel that certified public comptroller firms ha ve a responsibility to audit charitable or n! on-profits for a reduced fee because these massive charities are tranquillise businesses. They employee hundreds of thousands of people and function as a business, the only terminal is that they do not turn any type of profit. in addition charities should be required to hire auditors because their fee will be substantially less than the fraud that can be appoint with the lack of controls or...If you want to get a full essay, state it on our website: OrderEssay.net

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