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Question Description

1. Under the expenditure cycle ordering materials, supplies and services are the first activity. Explain the following ordering threats with suitable example with each of these.(1.5 Marks)

a) Purchasing at inflated prices

b) Unreliable Suppliers

c) Kickbacks

2. There may be several production operations threats. State any three production operations threats and also suggest some measures to control these threats. (1.5 Marks)

3. Under the payroll system of an organization we find several components such as HRM Department, Employees, Bank, Government Agencies, Insurance and other companies and various other departments. Take an example of an organization and explain the relationship of these components with reference to Payroll System of that organization.(2 Marks)

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