Case Study: Enhancing Financial Reporting at ABC Corporation ABC Corporation is a medium-sized manufacturing company based in the United States. The company has been facing challenges in its financial reporting processes, including delays, inaccuracies, and a lack of transparency. As a consultant hired to address these issues and enhance financial reporting. you are tasked with assessing the current situation and proposing solutions. Background: ABC Corporation's financial reporting process is primarily manual, involving the collection and consolidation of financial data from various departments and subsidiaries. This process is not only time-consuming but also error-prone, leading to discrepancies in financial statements. The company aims to streamline its financial reporting, improve accuracy, and provide timely insights to support decision-making. Key Challenges: 1. Manual data collection and consol dation result in delays in financlal reporting. 2. Inaccuracies in financial statements have eroded stakehoiders' trust in the company's financial data. 3. Lack of transparency and visibility into the financial reporting process hampers decision-making. Question 1: Financial Reporting System Improvement a. Analyze the challenges faced by ABC Corporation in its current financial reporting process. Explain how these challenges impact the company's overall financial health and its relationships with stakeholders. b. Propose a comprehensive strategy to improve ABC Corporation's financial reporting system. Include recommendations for implementing financlal software or tools, streamlining data collection and consolidation, and ensuring data accuracy. Discuss the expected benefits of these improvements. Question 2: Internal Controls and Compliance a. Discuss the importance of internal controls in financial reporting and the implications of weak internal controls for ABC Corporation's financial statements. b. Provide recommendations for establishing strong internal controls within the company's financial reporting process. Include measures related to segregation of duties, documentation, and regular audits, Explain how these controls will enhance accuracy, transparency, and compliance with relevant accounting standarcis. This case study focuses on addressing the challenges related to f nanclal reporting at ABC Corporation and seeks solutions to improve the efficiency, accuracy, and compliance of the financial reporting process. The two questions within the case study prompt the consultant to analyze the situation and propose practical strategies to address the issues