Review of Payroll Accounting System
A Review of the Accounting Approach to Kaplan Household furniture Ltd
A N Various other Senior Accounts Clerk Particular date: 2nd January 2012 AAT number: 1234567 Centre: Kaplan Financial BH 1234 Word Count: 3587 (exc appendices)
Signed Pupil Workplace mentor
Page best. Terms of Reference installment payments on your Methodology several. Executive Summary 4. Intro 5. Review of the Accounting system 6th. Recommendations 7. Appendices several 4 5 6 9 11 17
you 1 . 1
TERMS OF REFERENCE The report continues to be prepared to cover the requirements from the AAT Level 4 ICAS unit.
1 . 2 This report examines and examines the accounting system and offers recommendations to enhance the existing accounts function and general work place at Kaplan Furniture.
2 . you Staff had been interviewed to gain a working thoughts and opinions on the devices under review. They were as well asked for ideas for improvements 2 . 2 Findings have been carried out over a number of weeks to see the departments for and to gain a full understanding of the issues mentioned. 2 . 3 Research intended for the suggestions has been completed using the internet. A full set of websites and resources applied can be found in appendix 1 . 2 . 4 Group meetings were held with all the directors to gain an understanding belonging to he total requirements plus the budget for any kind of recommendations.
a few. 1 Following a full review from the company's accounting functions, specifically the payroll function, numerous weaknesses have already been identified. You will find weaknesses consist of areas of the accounts office, but a serious overhaul in the payroll function is required. The report also looks at the fraud concerns arising as a result of lack of reliability employed in the accounts workplace 3. a couple of There is a not enough support wanted to the payroll clerk. Just one staff member is definitely trained to make use of the system. This kind of creates both equally pressure for the clerk and also opens the business enterprise up to potential theft and fraud. It is recommended that at least one other employee is educated on Sage. This will cost the business simply ВЈ290 and can reap benefits associated with over ВЈ19, 000 per annum on an regular basis three or more. 3 Pay being paid out to personnel in money give rise to concerns relating to fraud and theft. It is recommended, that at a small cost of ВЈ780 per year, Kaplan Furniture should think about moving to BACS obligations for all staff wages. This could save the business up to ВЈ4, 500 annually on an regular basis. several. 4 Too little of time and revenue recording equipment could lead to inappropriate wages and commission paid. Staff salary are paid out based on manual time recording by the product sales floor director. This is open to fraud. We recommend that Kaplan Home furniture purchase a clocking in equipment and recognized POS system to accurately record sales resistant to the correct sales rep. Combined, these kinds of could expense the company approximately ВЈ7, 500 but may save more than ВЈ7, 1000 per year in wages and ensure commission payments are more appropriate. 3. your five Signed empty cheques are usually left within the premises to protect director absence. This opens the business up to fraud. Security procedures should be reiterated to accounts personnel and this could prevent cheques from being stolen and used fraudulently several. 6 Locker security inside the accounts workplace can lead to thievery of delicate information. Once again a securing of security measures already in place stop a infringement of Data Security legislation and may avoid an excellent of up to ВЈ500, 000 several. 7 The above recommendations might cost Kaplan in the region of ВЈ8000. However , these kinds of recommendations potentially have to save the company an estimated ВЈ530, 000 per annum.
Overview of the Business four. 1 Kaplan Furniture is known as a large furniture dealership in Leicester. Is it doesn't main dealer for Sleeptight foam Beds and Mattresses in the location and having been established in 2007, it has been trading within the past three years. This can be a private limited company run by two brothers. some. 2 Kaplan Furniture has a...