1.?Think of a local bookstore, such as Borders, and describe in detail the risks associated with this bookstore?s sale of merchandise (not limited to books) to customers, and propose at least four internal controls that would mitigate those risks. Now take a look at Amazon.com (or some other online bookstore.) Evaluate the differences that exist in an online selling environment, and explain how those risks are mitigated.
2. The owner of a small family-owned business prepares his own payroll, but rapid expansion is making demands for his time in other areas. He hires you to design payroll procedures with the proper internal controls that a small payroll department can handle. Design (using words) how payroll data should flow within the company, and in your design, make sure you address the control objectives.?
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