You are working as an accountant for a small training organisation. The CEO has approached you with several issues as follows:

Several invoices have been received recently that have no prior approval from management for purchase

One of the staff members was paid at the incorrect pay rate as the payroll officer processed pays based on information the staff member provided rather than the employment contract

Cash flow and profit and loss reports are not being reviewed regularly

Staff are unsure who they can seek approval/guidance from as there is not a clearly delegated role

The CEO has advised that he would like to appoint a Chief Financial Officer (CFO) who will have high level approval responsibilities and assist to control business operations. The CFO will now become the delegated person responsible for all financial purchases, queries and monitoring.

Requirements:

The CEO has requested that you help to resolve the following issues by completing the following:

a)Develop a list of tasks that a newly appointed CFO would be responsible for including relevant reports they will access and review and the schedule for when this would occur.

b)Develop template for internal control procedures. This must be a detailed and structured format that can be used for any future internal control development.

c)Develop 2 internal control procedures (using the template you have provided) to resolve the issues regarding unapproved purchases and payroll processing.