3. Sam and Dave are auditing XYZ Corp. In a post-audit analysis of audit data, they...

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3. Sam and Dave are auditing XYZ Corp. In a post-audit analysis of audit data, they realize that the cash account is low, as compared to the relative level of sales for the year. In response, they run a number of tests that compare the working capital levels to sales over the last five years. Afterwards, they discuss this informally with the company CEO. The CEO assures them that this is not a problem. So they do nothing else. What do you think? 4. You are the newly appointed CFO of ABC Corp. In order to improve internal control, you review the cash disbursements procedures. You immediately realize that there is no formal system in place. You ask the CEO for permission to set up a voucher system. How would you organize such an arrangement? 3. Sam and Dave are auditing XYZ Corp. In a post-audit analysis of audit data, they realize that the cash account is low, as compared to the relative level of sales for the year. In response, they run a number of tests that compare the working capital levels to sales over the last five years. Afterwards, they discuss this informally with the company CEO. The CEO assures them that this is not a problem. So they do nothing else. What do you think? 4. You are the newly appointed CFO of ABC Corp. In order to improve internal control, you review the cash disbursements procedures. You immediately realize that there is no formal system in place. You ask the CEO for permission to set up a voucher system. How would you organize such an arrangement?