VAC

Question 1

Frame work access controls
identified
authenticated
authorized
iaa-

Answer 1

Question 2

Segregation of duties

Answer 2

VALIDITY

The same person should not be responsible for multiple
functions within a function
(Students must state exactly who should perform each
function in order to achieve this)

Question 3

Custody of assets

Answer 3

VALIDITY/ CUSTODY OF ASSETS

-Assets should be kept behind locked doors.
- Only authorised personnel should be given keys.

• Security guards should monitor access to the premises
• Visitors should be required to show identification before
  entering the premises and visitors should sign a log book
  to document their visit
• CCTV cameras should be in place to monitor assets
  (Students should state which assets the above controls
  should be over – inventory, cash, etc.)

Question 4

Reconciliations

Answer 4

Validity/accuracy/
completeness

• Subsidiary ledgers to be reconciled to control accounts
  (e.g. debtors ledger to accounts receivable control
  account)
• Between documents from subsequent stages (e.g.
  reconcile amounts on invoices to amounts on delivery
  notes and orders)
  (Students clearly state what is being reconciled i.e. a
  reconciliation of XXX to YYY).
  See ‘Management Controls’ below for the review of the
  reconciliation

Question 5

Controls over unused documents

Answer 5

Validity

Unused documents should be:
- Difficult to copy
- Crossed/stamped when no longer in use/paid
- Kept in a safe with only management having keys
Documents should be issued to staff only when necessary
- This should be logged
- Both the staff member and management to sign as
evidence of issuance

Question 6

Management controls

Answer 6

Validity

Management should set policies and communicate these with
staff. Policies might include those over:

• limits (overtime hours, credit limits, wage rates etc.)
• authorised suppliers
• hiring and firing of staff
  Management should give specific authorisation for any
  override of policy (evidence by signature)
  Management should review the following

Question 7

Validity/accuracy/
completeness

Answer 7

Logs of documents issued
- Reconciliations carried out by employees
- Customer/employee complaints
-
Management should train staff on the operation of controls
Management should monitor the operation of controls by
performing spot checks