Inkwell Ltd Essay
Review of Inkwell Ltd’s accounting system and the effectiveness of its internal controls and recommendations for improvement.
This report is submitted for assessment of competence in AAT Learning and assessment area Internal Control and Accounting Systems that compromises the two QCF units: * Evaluation of Accounting systems * Principles of Internal Control
List of Contents
1. Terms of Reference
2. Executive Summary
4. Nature of Business
5. Current Accounting Function
6. Review of the Accounting System 1.
Terms of Reference
2.1 This report has been prepared to cover the requirements of AAT Learning Assessment area ‘Internal Control and Accounting …show more content…
6.5 Anil rarely involves himself with the detailed running of the accounts department. This role has been delegated to the Company Accountant, Michael O’Payne. Michael produces the monthly management accounts and personally approves payments to suppliers. His main role is to manage the work of the accounting technicians and clerks running the accounting systems. The accounting system compromises of the general ledger, purchase ledger, sales ledger, costing system and the payroll and personnel database management system.
6.6 Michael will have to communicate with the Sales Manager to know the levels of sales and outstanding debts. He will also communicate with the Advertising manager, to know what the advertising