Apollo Controls Essay

299 Words2 Pages
It is important to keep track of Apollo shoes financial position. Internal reporting ensures that employers, investors, and regulators are aware of the financial operations. Companies implement options such as document management, and compliance tools to keep financial practices conform to federal regulations. Internal control is a process that affects the board of directors of an entity, management, and personal. The Sarbanes-Oxley 404 Act requires management to report internal controls processes that maintain an adequate structure and procedures for financial reporting. The report contains an assessment and effectiveness of the internal control structure and procedures for financial reporting. There are a few areas within the internal control process that are a concern for the success of Apollo Shoes. The first area of concern is the cash handling process. The amount of cash that flows in and out of the cash account is larger than other assets. This process increases the chance of theft. Apollo shoes should adapt a questionnaire that document whenever cash is coming and going. Each employee should sign their name with each transaction amount to reduce the risk and make better effort to track cash inflows and outflows. Another area of concern is an outdated manual. An employee handbook contains information about an organization policies and procedures. It is a recourse that employees can find out about their work and workplace. An updated manual saves manager’s time, bring unity across the organization. It set guidelines for everyone to follow and inform employees of laws that help prevent conflicts and legal disputes. Apollo should make this a goal to update their manuals with current information regarding policies and procedures. McGraw-Hill/Irwin © the McGraw-Hill Companies, Inc., 2007 142 Apollo Shoes, Inc. McGraw-Hill/Irwin © the McGraw-Hill

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