Based on the reading, provide 3 questions or concerns you have about Frosty Pops (FPI)'s internal control environment

Control environment

The Frosty Pops data center is located at Corporate Headquarters in Tampa, Florida. All processing is performed on an IBM mainframe computer. All mainframe based applications at FPI run under a mainframe operating system. A web server hosting a company intranet is located in the FPI data center. The intranet is used for internally shared company information but is not used for revenue and accounts receivable processing. As noted previously several of the business activities are processed on the wireless network and Novell Open Enterprise Server LAN systems. The two wireless networks are protected through MAC address filtering and WPA2 encryption. Non-CIS personnel are forbidden from creating their own wireless networks at FPI locations. The LAN systems as configured as a Token Ring networks. Workstations connected to the host mainframe system are located both onsite at corporate headquarters and at the five regional sales and distribution locations. The regional offices are connected to Tampa via virtual private networks (VPNs). There is no dial-up capability to the mainframe.

FPI employees use Microsoft Excel spreadsheets to aid in decision-making and to improve business processes. FPI has undertaken a new pricing strategy to grow sales through volume based pricing for large customers. Under the strategy large customers will receive pricing discounts when the customers exceed sales thresholds for monthly and annual totals. The sales group created an Excel spreadsheet that calculates the pricing discounts. The pricing discounts are automatically posted to the Revenue and accounts receivable systems on a daily basis. The sales discount spreadsheet is used at the sales offices. The new discount promotion has increased sales and is considered, by top management, to be a huge success.