Bora Ltd. - Garden Screen Panels Specialist

Bora Ltd. acquires inventories from overseas suppliers. Recently, the auditor found that they could not easily identify whether a supplier has delivered on time and as ordered. This is due to suppliers often fulfil an order in multiple shipments and the computer system cannot support this. A purchase order (PO) can only be linked to a goods receipt (GR) record. As a result, in a case of multiple shipments, subsequent goods receipt could not be linked to the PO.

Which part of accounts payable process is significantly affected by this data problem?

This data problem affects the performance of the expenditure cycle. How?

The auditor also found that in the last one year, customers invoices were not calculated correctly due to an error in the system. The customers who have paid did not realise this. Bora Ltd. management looked into this issue and noted that the error per customer was not material although the total amount for all customers affected was material. The management decided to inform the customers and refund the differences. They felt that it was the right thing to do although it would mean they have to cancel the upcoming annual bonus as they would not have enough cash for that. They may also suffer reputational damage for disclosing this issue. This suggests that Bora Ltd. had made an ethical decision following____

Does this error affect the performance of current year financial cycle?

Given some issues that Bora Ltd. experienced and their plan to expand online, they look into replacing their current computer system with a cloud-based mid-tier ERP. What does Bora Ltd. need to do in the first stage of systems development lifecycle?

As part of technical feasibility analysis, Bora Ltd. identifies the type of cloud-based ERP that they believe aligns with their strategic direction. Do you agree with Bora Ltd.'s approach?

As part of moving online, Bora Ltd. plans to upgrade their website, to enable customers to place order and make payment online, and to integrate that with the cloud-based ERP. A consultant advised Bora Ltd. to have adequate security measures in place. If not, they may face issues such as_______ wherecustomers data are stolen through unauthorised access and other potential fraudulent activities such as the use of fictitious websites to gather personal details or_______ and when_____ compromises the website with malicious bots.

Given possible cybercrimes that Bora Ltd. may face, do you think they should proceed with their upgrade plan?