Subsystem: Order processing Control Objective: Accurately enter approved orders on a timely basis OP 2 - Is the sales order record prenumbered? 1. Risk Assessment - If this control was weak, what could happen? 2. Explain the System/Control using a Flowchart - Compare to Sample or Draw Flowchart 3. Evaluate the maturity level of two components of the system (people, technology, control, process) 4. What type of control(s) and/or segregation of duties (approve, custody, record) 5. Evaluate the control based on the case scenario - Strong or weak, explain 6. How would you audit this control to assure that it had been in place over the last financial reporting period? 7. Identify at least two links to the COSO framework Order Entry: The company's sales staff is made up of four sales representatives and the vice president of marketing. Sales staff members take orders from customers on their iPads and then email the orders to the main office. At the main office, Peggy, the receptionist, creates a sales backorder file on her laptop. In this file, she enters the customer account number, salesperson number, product numbers and quantities, and the requested delivery date. The customer number is used to access the customer's record, which includes the customer name and address, and is used to complete the sales order. The product number is used to retrieve the item description and price. A sales order is generated and sent to the credit department from the back-order file