AUI 3702 ASSIGNMENT
4 - 2021
DUE DATE: 30 AUGUST
2021
Question 1
1.1 Identify and discuss four (4) weaknesses in the
above control system for wages. (6)
Segregation of duties
-The human resource manager is responsible for
appointing and dismissing employees and for
maintaining the employee master file. This is
insufficient segregation of duties.
Access Control
-Unauthorised access to the factory could occur
because there are two(2) entrances, with access
control at one entrance only.
Authorisation
-Employees clock in without supervision. Employees
, could just easily clock in for colleagues who are not,
in fact, present.
Accounting process
-The factory foreman is the only one who enters the
information from the clock cards and there is no
supervision or control over his work.
1.2 Describe three(3) controls that will prevent
unauthorised changes or additions to the
computerised standing data in the employee master
file .(3)
-Logical access controls should only allow authorised
personnel to add new employees and record
terminations in the employee master file.
-Logical access control should only allow authorised
personnel to make changes to standing data on the
employee master files.
-Senior management should review these printouts
to ensure that only authorised changes were made.
1.3 Compile six (6) test-of-control audit procedures
that the auditor will perform to audit the recorded
wages (9)
-Sufficient segregations of duties should be ensured
regarding the appointments and dismissal of
4 - 2021
DUE DATE: 30 AUGUST
2021
Question 1
1.1 Identify and discuss four (4) weaknesses in the
above control system for wages. (6)
Segregation of duties
-The human resource manager is responsible for
appointing and dismissing employees and for
maintaining the employee master file. This is
insufficient segregation of duties.
Access Control
-Unauthorised access to the factory could occur
because there are two(2) entrances, with access
control at one entrance only.
Authorisation
-Employees clock in without supervision. Employees
, could just easily clock in for colleagues who are not,
in fact, present.
Accounting process
-The factory foreman is the only one who enters the
information from the clock cards and there is no
supervision or control over his work.
1.2 Describe three(3) controls that will prevent
unauthorised changes or additions to the
computerised standing data in the employee master
file .(3)
-Logical access controls should only allow authorised
personnel to add new employees and record
terminations in the employee master file.
-Logical access control should only allow authorised
personnel to make changes to standing data on the
employee master files.
-Senior management should review these printouts
to ensure that only authorised changes were made.
1.3 Compile six (6) test-of-control audit procedures
that the auditor will perform to audit the recorded
wages (9)
-Sufficient segregations of duties should be ensured
regarding the appointments and dismissal of
