Only Reliable Parts and Supplies, Inc.: Assessing and documenting the design of internal controls

Understanding how auditors assess the design of controls can be challenging. In this case, you will assess and document the design of internal controls for the sales process of your client, Only Reliable Parts and Supplies, Inc. In Part 1, you will prepare a flowchart for the client’s sales process and evaluate the design of controls for this process based on a transcript of an interview of the client’s controller. After evaluating the process, you will prepare a written memo that summarizes your findings. After completing Part 1, information about the client’s plans to automate the sales process will be provided for you to complete Part 2. In Part 2, you will evaluate the client’s planned automation of the sales process and consider how your assessment in Part 1 is affected by the planned changes.