Table of Contents
How to Use this Manual xi
Preface xiii
Governance Journey 1
A01 Big G to little g governance journey 3
Appendix: Background for COSO, SOX, PCAOB 7
A02 Risk Assessment 10
A03 Oversight 16
A04 Documentation 20
Internal Control Program 25
B01 Internal Control Program 27
B02 Internal Control Process 37
B02a Internal Control Policy and Procedure 52
B02b Internal Control Program Charter 55
B02c Internal Control Plan 57
B03 Authorization and Approval Program 69
B03a Delegation of Authority 73
B03b Authorization – Delegation, SubDelegation of Authority 79
B03c Responsibility, Authority, Support, Counsel, and Inform (RASCI) 83
B04 Information Technology Program 87
B04a End–User Computing—Control of Spreadsheets Policy and Procedure 95
B05 Account Reconciliation Program 97
B05a Account Reconciliation 101
B06 Quarterly Subcertification Program 105
B06a Quarterly Subcertification 120
B06b Quarterly Subcertification – Matrix 122
B06c Quarterly Financial Subcertification Training For First-Time Subcertifiers 124
Control Activity Program Testing Guides 133
C01 Control Activity Program 135
C01a Control Activities Template 147
C01b Result of Control Activity Testing 148
C01c Internal Control – Planning, Testing, and Remediation Worksheet 149
C01d Reporting Scorecard 151
C02 AP – Disbursements 153
C02a AR – Allowance for Doubtful Accounts 158
C02b AR – Cash Applications 162
C02c AR – Collections 166
C02d AR – Credit Administration 169
C02e Cash and Marketable Securities 172
C02f Financial Planning and Analysis 176
C02g Fixed Assets, Long Lived Assets 179
C02h Intercompany Transactions – Cross Charges 183
C02i Raw Materials and Inventory 187
C02j Journal Entries 194
C02k Payroll 197
C02l Procurement 201
C02m Revenue Recognition 205
C02n Retail Sales Orders to Business Partners 209
C02o Income Tax 213
Appendix
Internal Control Planning, Testing and Remediation Worksheets 217
Acronyms 263
References 265
Index 267
