Motherboards and More Report for Shipping- myassignmenthelp.com

Question: Discuss about theMotherboards and More Report for Shipping and Billing. Answer: Overview of the revenue cycle Motherboard and More company revenue cycle comprise of the various activities which they perform. These activities are highlighted as the sales order, shipping, billing and the collection of the cash. In the sales order entry it usually comprise of the customer making an order (Romney Steinbart, 2012). The organization check the inventory on the availability of the merchandise the customer has ordered and fill the order (Doyle McVay, 2007). The organization then creates a picking ticket to be able to make authorization on the inventory control and release on the merchandise to the department which is involved in shipping. In the shipping department there is usually the filling of the orders for the clients. Moreover in this department there is picking as well as packing of the merchandises so that they would be shipped. When it comes to the billing this is where the invoicing is done (Feng, Li McVay, 2009). There is creation of the document which are used for the purpose of proces sing of the invoice of sale to notify the client how much they would pay for the merchandise and where they would send on the payment. The next component of the revenue cycle is the collection of the cash (Doyle, Ge McVay, 2007). The finance officer in the organization usually handles the remittance of the customer and they make the deposits to the bank. The remittances usually contains the information of the name as well as the amount of money the customer has sent to the receivable account. The internal weaknesses of the Motherboard and More revenue cycle. The internal weaknesses in revenue cycle Effect of the weaknesses to the company. The specific Internal controls to be implemented in Motherboard and More company. a) There is the issue of the sales order where there is inaccurate order of the clients (Feng, Li McVay, 2009). The organization may incur the carrying costs which will be encountered when the orders are returned (Hylas Ashton, 1982). To resolve on the issue the organization needs to check and edit on their data entry. There should be accurate record of the customer orders. b) There are shipping errors encountered in the organization. Wrong good are sent to the customers. The organization could incur a lot of losses which are associated with the shipping costs especially when the clients returns the products to get the right order they had ordered previously. The organization needs to reconcile of the orders for sales with the picking ticket as well as the slip for packing. The organization needs to restrict physical access to the inventory to prevent unauthorized access to individuals. Overview of Ransomware attack. This was an attack which was designed to spread very quickly among the computers which are on the same network and it encrypt the files through use of a strong encryption, which enables the attackers to demand a ransom from the users to enable them decrypt the files (Doyle, Ge McVay, 2007). This attack was effective against the computers that had the Microsoft window and did not have the security patch (Formby, Durbha Beyah, 2017). The attackers demanded three hundred dollars and this amount was to increase after 2 hours (Bangs, 2014). There were many nations which had been hit by this cyber extortion attack particularly the hospitals, organizations and government. Control to implement at Motherboards and More against Potential Ransomware attack. Motherboards and More organization should ensure they update and patches have been applied. The information technology departments should provide updates and the patches to the devices as well as technology for the company (Lin, Hwang Becker, 2003). The company should test the security scanning system to make sure they are picking on the rogue devices which are connected to the network. The company should check on the Anti-virus protections: The anti-virus software is an important part when it comes to the ransomware defense (Luo Liao, 2007). The organization needs to install all the necessary equipment. Moreover, it should buy the right tool and deploy it (Bangs, 2014). On the preventive control it is important to have an effective passwords to the computers of the organization to ensure that all the system. It is also important to coach the members not to divulge passwords to the potential hackers. Conclusion and recommendations Based on the assessment which I have done some of the recommendation which the organization need to undertake are as follows; one of the major one is the backup of the files. The greatest damage to which the company suffers is when they lose their data from the attackers. There is need to always back up their data through external devices which have not been connected to the internet as the attackers use the internet to carry out their attack. Another important way they can prevent a ransomware attack use patch programs which have been updated from the software of the vendors. This will enable the attack to exploit on the vulnerabilities such was the case of this ransomware attack which target the computers which did not have patches updates for the Microsoft program. Another recommendation which is a control measure would be to use of the anti-virus program. The use of these program are able to stop the ransomware from being downloaded to the systems. In summary, in this report it has presented an overview of the revenue cycle, its components, and the weakness to the internal control. Some of the weaknesses are on the sales order where the organization has inaccurately entered their order wrongly as well as shipping of the wrong merchandise to the customers. The report has provided the control measures for the weaknesses as well as those for preventing ransomware attacks. References Bangs, G. (2014). New Ransomware and Cyber extortion Schemes Hold Businesses Hostage. Risk Management, 61(8), 30. Doyle, J., Ge, W., McVay, S. (2007). Determinants of weaknesses in internal control over financial reporting. Journal of accounting and Economics, 44(1), 193-223. Feng, M., Li, C., McVay, S. (2009). Internal control and management guidance. Journal of Accounting and Economics, 48(2), 190-209. Formby, D., Durbha, S., Beyah, R. (2017). Out of control: Ransomware for industrial control systems. Hylas, R. E., Ashton, R. H. (1982). Audit detection of financial statement errors. Accounting Review, 751-765. Lin, J. W., Hwang, M. I., Becker, J. D. (2003). A fuzzy neural network for assessing the risk of fraudulent financial reporting. Managerial Auditing Journal, 18(8), 657-665. Luo, X., Liao, Q. (2007). Awareness education as the key to ransomware prevention. Information Systems Security, 16(4), 195-202. Romney, M. B., Steinbart, P. J. (2012). Accounting information systems. Boston: Pearson.