...Departments In A Bank As soon as it becomes necessary, on account of volume of business, to divide the work in a bank into divisions, each employing a group of clerks, such division is organized into a department having a department head who is usually a teller, a head bookkeeper, or perhaps a junior officer. In the very large banks the executive staff is itself organized into groups, and there may be a vice - president and one or two assistant cashiers in charge of each important department. The work of a department in a large bank is nothing more nor less than the work of a single man in a small bank, apportioned among several men. For example, the receiving teller in a five-man bank will take the deposit, count the cash, examine the checks, assort them as to place payable, enter them upon the proper records and make a settlement or proof at the end of the day. In a large bank each of these operations is performed by a different man or group of clerks under the direction of the receiving teller, who is head of the department. It may be that he himself will do very little if any of the detail work. He becomes the manager. Frequently we find a department within a department, as for example, the money department within the paying teller's department. The ordinary departments, classified as to group, may be described as follows: Paying Teller's Department (Teller): Pays or certifies checks. In charge of the signature book or cards bearing the authorized signatures of all depositors...
Words: 767 - Pages: 4
...receiving and recording the income earned. b. The auditor would have most likely detected the defalcation when confirming accounts receivable with a large statistical sample. He/she probably would have performed a cash trace and noticed the receipts not matching up with accounts receivable postings. c. A control procedure that would have been effective in preventing this defalcation is having segregation of duties. By having another employee record the income earned from the city’s pension fund, the treasurer would not have been able to divert any of the funds for himself. 2. a) The auditor would have identified the risk that led to billing schemes through analysis of financial results. b) The defalcation most likely would have been detected by the auditor when going through the financial statements and identifying the fluctuation in sales. He/she would probably verify that the vendor was real and noticed the defalcation. c) A control procedure that would have been effective in preventing or detecting this defalcation is to implement authorization controls on approval of purchase orders. Authorization of purchase orders would include detective controls such as investigating orders to see if the clients actually exist. 3. a) An auditor would most likely identify risk that led to the defalcation through analysis of financial results and then through a review of industry trends. b) Assuming that the amount is material, the defalcation should...
Words: 893 - Pages: 4
...manual system Account Information System of their students. The information are stored and compiled in some sort of filing cabinets and may take a long time to retrieve the data and information especially when the account is for old students of the school. In all it can take minutes finding the relevant account information of the students. Students Account Information System manages student records and account information. A SAIS may handle student’s information system, payments information, accounts and balances. They can be use to run complex enrolment reports, admissions, examinations schedules and student payments with the help or via SMS Support. A SAIS helps the institutions manage various operations including student information and administrative. A SAIS allows for the quick and more accessible flow of information. A SAIS provides the accounting department specially bookkeeping staff with useful tools to automate the daily routine of simple task. In this system, a desktop application design for the use of the institution to minimize the work and burden of the accounting department. To optimize and configure accomplish specific information handling operation, such as computation, processing and storage of information. By implementing a SAIS to manage daily student’s accounts, accountant and bookkeeper can save time and have immediate access to a variety of student data. A SAIS allows a quick and easy way to communicate and notify about their children accounts and balances...
Words: 589 - Pages: 3
...Course & Selection: Identifier: Client: Chapter 03: Financial Accounting Exercise 03-02: Basic Financial Accounting Process Single Company Code Version 1 Rev: 01/03/2011 Introduction General Notes and Information It is strongly recommended that you read through the entire exercise prior to starting. Not all instructions can be provided in a linear manner. The following symbols are used to indicate important information as described below: An arrow highlights an important instruction that must not be overlooked. A text box prompts you to type-in an important piece of information. Each student or group will be assigned a unique three digit identifier. This identifier is used in all exercises to uniquely identify your data. Whenever you see ### in these exercises, replace it with your identifier. Always work with your data. Business Process Overview The financial accounting process allows GBI to pay vendors for services or materials acquired. This process can be used to pay for liabilities that GBI has incurred due to normal operations. This exercise is about paying off liabilities within the accounting statements. Chapter 04 Save Reset Print Chapter 03: Financial Accounting Exercise 03-02 Exercise 04-02 Exercise Prerequisites Chapter 04: ProcurementFinancial Accounting Master Data-SCC Exercise 3-1 Process Exercise 04-02: Basic Procurement Process Exercise Single Company Code Workflow Invest in GBI View Account Balances Purchase Supplies for Cash Purchase Supplies...
Words: 3323 - Pages: 14
...Question 2 Financial information is important even in a company or doing a small business. It refers to the signal, instruction, data and message which were generated during the process of organization and management of currency in circulation, variety of financial securities trading, credit and financial settlement activities. It includes government financial information, stock market information, customer credit information and others. There are few types of users who need financial information below: I. Managers. The managers had to overall responsibility for the financial department day-to-day. They had to organize and develop the financial management system and supervise the implementation. They are not only had to develop, maintain, and improve the financial management procedures and policies of the company nut also had to manage the fund and asset of the company. They had to prepare for the financial plan and annual development. II. The bank. The bank will need some information when they are having some deals with the customers. For examples: The owner wants to borrow money for use in the business, the customer want to get back the amount of fixed deposit which he had been saved money in the bank for 20 years. III. Owner of the business. The owner wants to be able to see whether the business is profit or loss. They had to analyzing the profitability and the viability of their investment and determining any future course of action. IV. A prospective buyer...
Words: 1127 - Pages: 5
...1. What is the investment income account of the balance of payments? Investment income account includes: a. Direct foreign investment (Investment in fixed assets in foreign countries that can be used to conduct business operations to earn revenue.) b. Portfolio investment (Investment in long-term financial assets like stocks and bonds to earn dividends or interests between countries that do not affect the transfer of control.) c. Other capital investment (Investment in short-term financial assets like money market securities between countries to earn interests.) 2. What is the official settlements account of the balance of payments? How are official settlements deficits and surpluses associated with movements in the international reserves of the balance of payments? Official settlement account is the sum of the current account, the capital account, the non-reserve financial account, and the statistical discrepancy. Official settlements offset international reserves. Official settlements surplus increase official reserve assets. Official settlements deficits decrease official reserve assets. 3. Explain why private national saving plus government saving equals the current account of the balance of payments. a. National income on expenditure = C+I+G+X-M b. National income on disposal = C+S+T c. Because expenditure = disposal, therefore C+I+G+X-M=C+S+T d. We can see X-M=(S-I)+(T-G) e. So Current asset equals to private national saving...
Words: 846 - Pages: 4
...Balance of Payments The balance of payments is the sum of all transaction that Australia has with the rest of the world. These figures are presented in two accounts- the current account and the capital and financial account. The capital and financial account are comprised of reversible transactions while the current account covers external transactions that are non- reversible. The balance of payments always balances but since the 1980s, Australia has persistently experienced a large Current Account Deficit (CAD). The balance of payments is based on a double entry system (ie credits and debits) of ledger accounts known as the current account and the capital and financial account. Current Account The current account records all transactions of a current nature involving money received (income) and money spent (expenditure) for M and X of g/s, income and transfers. These transactions are non-reversible (money has either been received or spent) ------------------------------------------------- BOGs- Balance on god and services ------------------------------------------------- -Shows aussie X/M patterns Goods * Exports (goods credits) and imports (goods debits) * X divided into rural and non rural * M classified as consumption, capital or intermediate * Tangibles Services * Exports (credits) and imports (debits) * Tourism, education, shipping, finance * Intangibles Net income * Income received from aussie owned assets...
Words: 454 - Pages: 2
...CHAPTER ONE: INTRODUCTION 1.1 History of the organization Mantoz enterprise is a top notch branding company that was formed in 2004. It’s a company that focuses mainly on corporate clients and offers a one-stop-shop for branding solutions. 1.2 Functions or core activities of the company 1.3 Vision, mission statement and core values of the institution The vision of the company is “to become a one stop branding and printing solutions provider through the latest technologies available while being of service to mankind.” The company has gathered a lot of valuable experiences working with all sectors of business and non-business entities. There portfolio now stands at over 100 customers. They do branding business with a lot of passion and are always on the look out for new techniques and technologies so as to continually increase there quality hence enhancing the branding value of their clients. They have competent, innovative, dedicated and experienced team. They give competition a run for their money because they go all the way to please and deliver the best in branding. There team includes color experts, designers, concept and branding experts, research and development team, quality assurance, finance, marketing and sales, customer care and HR/Administration. VALUES These include quality, speed and customer satisfaction are their focus to make sure their clients get monies worth. At affordable prices, we are working with our clients to develop products suitable for...
Words: 1834 - Pages: 8
...two accounts. One account will receive a "debit" entry, meaning the amount will be entered on the left side of that account. Another account will receive a "credit" entry, meaning the amount will be entered on the right side of that account. The initial challenge with double-entry is to know which account should be debited and which account should be credited. Before we explain and illustrate the debits and credits in accounting and bookkeeping, we will discuss the accounts in which the debits and credits will be entered or posted. Note: We developed a visual tutorial of debits and credits as well as hundreds of exam questions to help you review and retain the information that follows. See AccountingCoach PRO to learn more. What Is An Account? To keep a company's financial data organized, accountants developed a system that sorts transactions into records called accounts. When a company's accounting system is set up, the accounts most likely to be affected by the company's transactions are identified and listed out. This list is referred to as the company's chart of accounts. Depending on the size of a company and the complexity of its business operations, the chart of accounts may list as few as thirty accounts or as many as thousands. A company has the flexibility of tailoring its chart of accounts to best meet its needs. Within the chart of accounts the balance sheet accounts are listed first, followed by the income statement accounts. In other words, the accounts are...
Words: 10337 - Pages: 42
...1.1 Introduction An early market economy and an early form of mercantilism, sometimes called "Islamic capitalism", were developed between the eighth and twelfth centuries. The monetary economy of the period was based on the widely circulated currency the gold dinar, and it tied together regions that were previously economically independent. A number of economic concepts and techniques were applied in early Islamic banking, including billsofexchange, partnership (mufawada,including limitedpartnerships,or mudaraba), and forms of capital (al-mal), capital accumulation (name al-mal),cheques, promissory notes,trusts (see Waqf),transactionalaccounts, loaning, ledgers and assignments.Organizational enterprises independent from the state also existed in the medieval Islamic world, while the agency institution was also introduced during that time. Many of these early capitalist concepts were adopted and further advanced in medieval Europe from the 13th century onwards. Bangladesh is one of the largest Muslim countries in the world. The people of the Muslim community wishes to design their economic activities in accordance with the percepts of Islam so the establishment of some numbers of Islami Bank in Bangladesh is the true reflection of long day’s deep cry in their heart. The Objective of Social Islami Banking is not only to earn profit, but also to do good and welfare to the people. Islam upholds that, money, income and property belong to Allah and this wealth is to be...
Words: 14908 - Pages: 60
...the most expensive form of internal control due to the necessity of increased work force. Segregation of duties (SOD), also known as separation of duties, falls under the framework’s control activities component created by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). According to the definition of COSO, segregation of duties is “Dividing or allocating tasks among various individuals making it possible to reduce the risks of error and fraud.”. Segregation of duties is to ensure that a single individual will be responsible for only one component. One of the benefits of maintaining separated duties is that it reduces the risks of fraud in the business. Other benefits are safeguarding the assets, making the financial reports fairly presented, and reducing the cost of external audit. Four functions are commonly segregated in practice. They are custody, authorization, record keeping and reconciliation. We intend to describe these functions in detail, provide examples of each control, and a real world example of what can happen when these functions are not separated. Authorization is described as, “the basis by which the authority to complete the various stages of a transaction is delegated” by the University of Washington. Authorization is a privilege that can relate to any one of the topics we are covering in this paper. Authorization can be granted by one individual to another in the areas of recording, receipt and custody, or reconciliation...
Words: 5963 - Pages: 24
...C HAPT E R 11 ACCOUNTING FOR BRANCH OPERATIONS Corporations in Financial Difficulty Not-for-Profit and Governmental Entities Partnerships Reporting Requirements Multinational Entities Multi-Corporate Entities Branch Operations Additional Consolidation Issues Intercorporate Transfers Consolidation Procedures Consolidation Concepts Intercorporate Investments Business Combinations One route to corporate expansion is the external approach of acquiring other companies in business combinations, as discussed in Chapter 1. Another approach to expansion is through internal growth. While such growth can occur at a single location, companies often expand by establishing additional locations. For example, Wal-Mart’s phenomenal growth would have been impossible had the company not established many new stores at various locations throughout much of the country. When operations are conducted at more than a single location, the different locations may be referred to as sales agencies, branches, plants, or by numerous other terms. Unfortunately, terminology referring to multiple operating locations is not standardized. In addition, many different approaches are taken in establishing internal accounting and reporting systems for companies operating through outlying locations. Distinction between Sales Agency and Branch The difference between a sales agency and a branch most often has to do with the degree of autonomy. A sales agency, sometimes referred to simply as an “agency,”...
Words: 14556 - Pages: 59
...If a country has received money, this is known as a credit, and, if a country has paid or given money, the transaction is counted as a debit. Theoretically, the BOP should be zero, meaning that assets (credits) and liabilities (debits) should balance. But in practice this is rarely the case and, thus, the BOP can tell the observer if a country has a deficit or a surplus and from which part of the economy the discrepancies are stemming. DIVISION OF BALANCE OF PAYMENTS The BOP is divided into three main categories: the current account, the capital account and the financial account. Within these three categories are sub-divisions, each of which accounts for a different type of international monetary transaction. The Current Account The current account is used to mark the inflow and outflow of goods and services into a country. Earnings on investments, both public and private, are also put into the current account. Within the current account are credits and debits on the trade of merchandise, which includes goods such as raw materials and manufactured goods that are bought, sold or given away (possibly in the form of aid). Services refer to receipts from tourism, transportation (like the levy that must be paid in Egypt when a ship passes through the Suez Canal), engineering, business service fees (from lawyers or management consulting, for...
Words: 3347 - Pages: 14
...were also deeply involved in regional co-operation initiatives. These factors contributed to global disinflation in manufactured goods prices, abundant global liquidity and strong growth in commodity-exporting economies including Australia. (maybe because of 1997-1998 Asian financial crisis) In the coming decade, Asian economies are likely to continue their ascendancy, albeit at a slower pace, which should eventually decouple Asia from the advanced economies. With increasing domestic cost pressures, Asia may also become a new source of global inflation. Asia’s exports of capital to advanced economies may shrink as the region rebalances and outflows should focus more on portfolio investment and foreign direct investment (FDI). In the coming decade, a potential crisis in a major Asian economy such as China could trigger the next global recession. SUMMARY: History: more than 1000 years before the industrial revolution, the combined share of China and India in the world economy was routinely greater than 50% (but whether they will assert influences on the world economy depends on assumption of sustainability) 1993: the East Asian miracle, HPAEs (world bank 1993), no China India 1997-1998 Asian financial crisis (triggered by the withdrawal of foreign capital from the region, however, excessive borrowing, overheating economies and declining investment returns in previous years had already laid the foundations) 1999, 2000: most Asian countries recovered 2008 GFC may accelerate...
Words: 1579 - Pages: 7
...Riordan Manufacturing BSA/500 September 9, 2013 Riordan Manufacturing This document considers the impact of external influences on Riordan’s business; assesses the current financial state of Riordan Manufacturing, using standard tools to analyze the income statement, balance sheet and cash position; examines the financial and accounting systems in use, and their efficacy; and, recommends potential improvements to these systems and their integration to other systems. These improvements include additional accounting software modules to facilitate reporting, internal and external audits, and regulatory compliance. Influences Riordan Manufacturing is a corporation that has several influences affecting business processes and its financial state. Most organizations are affected by economic, government, and legal influences to varying degrees. The key economic influences affecting Riordan Manufacturing are real GDP growth, inflation, labor cost, interest rates, global monetary values, and fuel prices. These economic influences have an effect on the operational cost and liabilities of Riordan Manufacturing. Tax rates, environmental regulation, customs regulations, and employment regulations are some key government influences that affect Riordan's operational cost and income taxes paid. Riordan is a multi-national corporation, the government influences of each nation Riordan operates in have different affects. The key legal influences are tax laws, environmental...
Words: 2574 - Pages: 11
