Cash and Internal controls Scenario

Prior to beginning work on this discussion forum, read Chapter 6 in the course textbook, Using Financial Accounting Information: The Alternative to Debits and Credits.

After reading Chapter 6 in the textbook: Porter, G., & Norton, C. (2018). Using financial accounting information: The alternative to debits and credits (10th ed.). Retrieved from https://www.cengage.com 

  • Discuss how can management control cash. Your discussion should include what tools management may use to control cash.
  • Using the same company and annual financial statements that you chose for your Week 1 – Discussion Forum, (The company used for week 1 discussion was “BP”). Reading and Using the Annual Report Case Study, disclose the company’s cash balance, and discuss if you believe the company has too much or too little cash. Be sure to support your opinions with supporting facts.
  • Discuss management’s responsibility to establish overall basic internal controls. Provide a real-life example from a work situation where you saw basic internal controls in place.

Your initial response should be a minimum of 200 words.

 

Reference book:

Annual Report. (2020). BP company. Retrieved from https://www.bp.com/content/dam/bp/businesssites/ en/global/corporate/pdfs/investors/bp-annual-report-and-form-20f-2020.pdf   

 

Porter, G., & Norton, C. (2018). Using financial accounting information: The alternative to debits and credits (10th ed.). Retrieved from https://www.cengage.com 

Leave a Comment