Revenue cycle Flashcards
(18 cards)
Threat: Inaccurate or invalid master data
Data processing integrity controls
Restriction of access to master data
Review of all changes to master data
Q: Threat: Unauthorized disclosure of sensitive info → Control?
Access controls
Encryption
Tokenization of customer personal information
Q: Threat: Loss or destruction of data → Control?
A: 3.1 Backup and disaster recovery procedures
Q: Threat: Poor performance → Control?
A: 4.1 Managerial reports
Q: Threat: Incomplete/inaccurate orders → Control?
A: 5.1 Data entry edit controls
A: 5.2 Restriction of access to master data
Q: Threat: Invalid orders → Control?
A: 6.1 Digital or written signatures
Q: Threat: Uncollectible accounts → Control?
A: 7.1 Credit limits
A: 7.2 Specific authorization for high-risk customers
A: 7.3 Aging of accounts receivable
Q: Threat: Stockouts or excess inventory → Control?
A: 8.1 Perpetual inventory control
A: 8.2 Barcodes or RFID
A: 8.3 Training
A: 8.4 Periodic physical counts
A: 8.5 Forecasts & activity reports
Q: Threat: Loss of customers → Control?
A: 9.1 CRM systems, self-help websites, customer service rating tools
Q: Threat: Picking the wrong items or quantity → Control?
A: 10.1 Bar-code and RFID technology
A: 10.2 Reconciliation of picking lists to sales order details
Q: Threat: Theft of inventory → Control?
A: 11.1 Restriction of physical access to inventory
A: 11.2 Documentation of all inventory transfers
A: 11.3 RFID and bar-code technology
A: 11.4 Restrict ability to cancel sales
A: 11.5 One-time customer shipment controls
A: 11.6 Periodic physical counts & reconciliation
Q: Threat: Shipping errors (wrong item, delay, wrong address…) → Control?
A: 12.1 Reconcile shipping docs with sales orders, picking lists, packing slips
A: 12.2 RFID systems to identify delays
A: 12.3 Data entry via barcode or RFID
A: 12.4 Edit controls for data entry
A: 12.5 ERP system config to prevent duplicate shipments
Q: Threat: Failure to bill → Control?
A: 13.1 Separation of billing & shipping functions
A: 13.2 Reconciliation of invoices with sales orders, picking tickets, shipping docs
Q: Threat: Billing errors → Control?
A: 14.1 Auto entry of pricing data
A: 14.2 Restrict access to pricing master data
A: 14.3 Data entry edit controls
A: 14.4 Reconcile shipping docs to sales orders
Q: Threat: Posting errors in accounts receivable → Control?
A: 15.1 Data entry controls
A: 15.2 Reconciliation of batch totals
A: 15.3 Mailing monthly statements
A: 15.4 Reconcile subsidiary ledger to general ledger
Q: Threat: Inaccurate or invalid credit memos → Control?
A: 16.1 Segregation of duties (no one handles both sales + credit memo approval)
A: 16.2 System config to block memos unless goods returned or management approves
Q: Threat: Theft of cash → Control?
A: 17.1 Segregation of duties (person receiving cash ≠ posting/remittance/credit memo)
A: 17.2 Use EFT, FEDI, lockboxes
A: 17.3 Use UPIC
A: 17.4 List all payments immediately when opening mail
A: 17.5 Prompt restrictive endorsement of checks
A: 17.6 Two people open payment mail
A: 17.7 Use of cash registers
A: 17.8 Daily deposit of receipts
Q: Threat: Cash flow problems → Control?
A: 18.1 Lockbox, EFT, credit cards
A: 18.2 Offer early payment discounts
A: 18.3 Cash flow budgets
