Auditing Management Letter

March 27 , 2009Mr . John SmithChief Financial OfficerSouthwest Appliances IncDear Mr . SmithI have audited the fiscal statements of Southwest Appliances for the fiscal year ending December 31 , 2XX1 and have issued my reportBelow I summarize issues of sufficient importance to righteousness your attention . I have discussed my pep upations pertaining to these issues with the appropriate , responsible pull up play . Many of the suggestions are being implementedController s AuthorityThe software gives in like manner more power to the controller , including the ability to write get through integral accounts . I recommend adding another step to the branch where big(a) debt write offs are verified by a trine impartial partyReturnsReturns are not tracked . Therefore , they may not be added back to caudex . Equally , customers whitethorn be billed for something they do not owe .

I recommend that Southwest Appliances begin tracking shows by attaching a settle number to each return and recording this in a sales return journalCustomer InformationThe customer information of return customers is not checked . If a customer moves , this can install in an incorrect address . I recommend that a sales clerk compare the current address to the well(p) in the system when each sale is originatedComputer Perpetual InventoryToo a good deal reliance is placed on estimator perpetual inventory . A power outage or a software job can skew the computer s deter mine or duck access to these values . I rec! ommend keeping a backup perpetual inventory , any on or on another computer in a objective location...If you want to get a dependable essay, order it on our website: OrderCustomPaper.com

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