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Flowcharts - Documenting the accounting system
Depict in outline the sequence of events in a system showing document flow and department or function responsible for every event.
Advantages:-
Easier to read and understand for larger more complex systemsHighlight key features and controlsStanderdizedEasy to update and little narrative Disadvantages:-
Requires formal training to understand notation usedtime consuming to preparemay missout crucial detail because of little supporting narrative
A technique for knowing a company's worth that is based on earnings and book value. It is also known as the residual income model, it seems at whether management's decisions cause
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State the factors of Tests of controls Tests of controls may include · Enquiries and observations corroborating internal control functions. Inspection of docu
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