Qus3) You have audited the internal control of financial management processes of the company and have identified the followings: Sharing services and Repairing services are paid by mobile apps, while consultation services are paid by invoices. The sales representatives pay with their cash or credit cards for the equipment and tools hired and get the pay reimbursed. Some employees lost the receipts or tax invoices when the payments were reimbursed and just showed the bank transactions. For budgeting, many departments believe that GST can be omitted when budgeting as GST has never been a part of the business properties. Required: Provide your recommendation on the current financial processes and the risk the company might face in the future?

Question 2: The company has provided more information as follow: 2020 Actual ($) 2021 Budget ($) Other revenue Interest revenue $19,200 Other expenses Rent $144,000 Utilities $74,000 Administrative staff $225,000 Printing costs $92,000 Insurance $260,000 Vehicle expenses $330,000 Total Other expenses $1,125,000 The interest revenue would increase by 5% Rent would be increased by 8% in the year 2021 Utilities are used at approx. 2.4% of the sales volume Administrative staff salaries would go up by 3% Printing costs are based on the contract with Toshiba and would be remaining the same for the year 2021 Insurance premium costs would increase by 5% Vehicle expenses are measured at approx. 18% of the total marketing costs