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audit recommemd a control to address these each of these Deficiences vishubes 30239919-EUACC 230V) - Ward Insert References Design Layou HERRERA Mailings Rewww View Help

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recommemd a control to address these each of these Deficiences

vishubes 30239919-EUACC 230V) - Ward Insert References Design Layou HERRERA Mailings Rewww View Help Question 5 (This question has two parts, Part I and Part I) ([ 5.9 -19 marks) Parti XYZ company manufactures custom made bed and its your endis 30 Juno The company purchases its raw materials from a wide range of suppliers Below is a descrphon of XYZ's purchasing system When production supervisors require raw materials, they complete a requisition form and this is submitted to the purchase ordering department Requisition forms do not requre authorisation and no reference is made to the current inventory levels of the materials being requested Staff in the purchase ordering department uses the requisitions to raise sequentially numbered purchase orders based on the approved suppliers at which was last updated 24 months ago The purchasing director authorises the orders prior to these being sent to the supphers When the goods we received the warehouse department verifies the quantity to the suppliers despatch note and checks that the quality of the goods received are satisfactory They complete a sequentially numbered goods received note and send a copy of the goods received note to the finance department. Purchase invoices are sent directly to the purchase ledger clerk, who loves them in a manual fie until the end of each week. He then inputs them into the purchase lodger using batch controls and gives each invoice a unique number based on the supplier code. The invoices are reviewed and authorised for payment by the finance director, but the actual payment is only made 60 days after the invoice is input into the system Required: In respect of the purchasing system of XYZ Company a identify and explain FIVE deficiencies (5 marks) Suggested Answer: 12 AM O B Start a search E e RE ma

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