8 9 into his account for transaction processing, he noticed that his credentials did not work. He was told that there was no account associated with his email. Then, Dell used the login option for employees who have forgotten their email address. This should have allowed him to reset his password via an email sent to an alternative account on file. However, once Dell logged in, he got a message saying that a password reset link had been sent to an email address that was most certainly not his. Further, other Kida accountants also reported receiving unusual or inappropriate advertisements within their Facebook accounts. These advertisements offer unapproved, forty percentage discounts on the purchase of Kida office equipment for Kida employees with bank accounts with Wells Fargo. This percentage exceeds the company policy. Dell's little sister is the CIO of Wells Fargo, N.A. a. Prepare a flowchart of Kida Company's purchasing and cash disbursements system. (See below file.) Describe the internal control strengths and weaknesses relating to purchases of and payments for b. special" orders of Kida Company for the purchasing, receiving, accounts payable, and treasurer functions. explanations. For each weakness, suggest at least one improvement. Be specific in your List two inherent risk factors that directly affect the purchasing process. Why should auditors be concerned about issues such as the supply of raw materials and the volatility of prices? c. d. Describe any benefits that Kida may receive by installing newer IT systems. Be specific as to described, or how they could eliminate any how IT systems could benefit each of the processes d weakness identified above. (900 points) e. Ontional: In an oral presentation, present only Part I of your project in class on May 13 or 14 Your presentation should not exceed 7 minutes. Also upload all parts of your by 11:59 PM (EST) May 12, 2018. (250 points- Extra Credit.) Based on 2017 sales, Kida Company has forecasted the following monthly growth in sales and monthly cash collection measures for 2018: Create a 12-month cash flow budget in Excel using the following assumptions Annual 2017 sales of $4,500,000 per month with forecasted monthly growth 35% of each month's sales for cash; 30% collected the following month, 20% collected 2 months later; 10% collected 3 months later, and 5% never collected. Assuming an initial cash balance of $300,000, management has concluded that they will achieve an ending cash balance of $41,000,000. REQUIRED: Write a short summary to evaluate management's decision. (Your answer of Part II should be within 20 words, 100 points.) 8 9 into his account for transaction processing, he noticed that his credentials did not work. He was told that there was no account associated with his email. Then, Dell used the login option for employees who have forgotten their email address. This should have allowed him to reset his password via an email sent to an alternative account on file. However, once Dell logged in, he got a message saying that a password reset link had been sent to an email address that was most certainly not his. Further, other Kida accountants also reported receiving unusual or inappropriate advertisements within their Facebook accounts. These advertisements offer unapproved, forty percentage discounts on the purchase of Kida office equipment for Kida employees with bank accounts with Wells Fargo. This percentage exceeds the company policy. Dell's little sister is the CIO of Wells Fargo, N.A. a. Prepare a flowchart of Kida Company's purchasing and cash disbursements system. (See below file.) Describe the internal control strengths and weaknesses relating to purchases of and payments for b. special" orders of Kida Company for the purchasing, receiving, accounts payable, and treasurer functions. explanations. For each weakness, suggest at least one improvement. Be specific in your List two inherent risk factors that directly affect the purchasing process. Why should auditors be concerned about issues such as the supply of raw materials and the volatility of prices? c. d. Describe any benefits that Kida may receive by installing newer IT systems. Be specific as to described, or how they could eliminate any how IT systems could benefit each of the processes d weakness identified above. (900 points) e. Ontional: In an oral presentation, present only Part I of your project in class on May 13 or 14 Your presentation should not exceed 7 minutes. Also upload all parts of your by 11:59 PM (EST) May 12, 2018. (250 points- Extra Credit.) Based on 2017 sales, Kida Company has forecasted the following monthly growth in sales and monthly cash collection measures for 2018: Create a 12-month cash flow budget in Excel using the following assumptions Annual 2017 sales of $4,500,000 per month with forecasted monthly growth 35% of each month's sales for cash; 30% collected the following month, 20% collected 2 months later; 10% collected 3 months later, and 5% never collected. Assuming an initial cash balance of $300,000, management has concluded that they will achieve an ending cash balance of $41,000,000. REQUIRED: Write a short summary to evaluate management's decision. (Your answer of Part II should be within 20 words, 100 points.)