Expenditure Cycle Questionnaire
Activity Question Explanation
Yes No N/A
General Issues throughout the cycle Are there access restrictions to the master data? Answering ‘no’ indicates a controls weakness because unauthorized persons have access to the data file.
Are changes to the master data file reviewed? Answering ‘no’ indicates a control weakness because it could indicate that management are not keeping a brace of changes to the master data file which if not monitored could impact system outputs and the reliability of the systems information.
Are there access restrictions in place for unauthorized persons? Answering ‘no’ indicates a controls weakness because unauthorized persons could be gaining access to both tangible and intangible resources of the company.
Is encryption software used to protect data from unauthorized persons? If property of the company is stolen or a person gains access to databases etc. , not having encryption software means that the person can access important files etc. with ease.
Does the company have any back up or recovery procedures in case of an unforeseen event? Information used by a company is important and should be safeguarded. If a ‘no’ response is received this could indicate that the information is not protected to the fullest extent and if an unexpected event occurs the company will not be able to continue on with business. Meaning sales, receivable, payable information etc. will be lost.
Are managerial reports created?
A “no” response could indicate that management is not monitoring and assessing the system and its effectiveness.
Are inventory records constantly kept up date? A ‘no’ response could indicate that inventory is not accurate and current.
Does the company use bar code or RFID tags for ordering? A ‘no’ response could indicate the presence of more errors do to the reliance on human entry.
Are periodic physical counts occurring periodically? A ‘no’...