Having a Musical Friend is not Easy - 3037 Words

I’m telling you, having a musical friend isn’t easy. It has its ups and downs, though, in my humble opinion, more of the latter than even notes in The Devil’s Trill Sonata. Trust me, Tartini might have dreamt the devil wanted his soul, but I feel I have met him in person. He didn’t seem that bad a guy, at first, when I met him the summer of 1994. I was listening to Nirvana on my walkman that day, as I jogged through the park, my daily routine to stay in shape (in a thinner shape than a circle, I hoped). I remember I had run for a long time, almost an hour without sprinting and my tank top was drenched with athletic perspiration that accumulated over the excruciating run. I was about to slow down to cool off when this guy, maybe a couple years older than me, was running right at me as he shouted over his shoulder at an invisible force behind him. His chin length hair flew behind him as he darted toward me, and I realized his shouts weren’t in Englis h, but in another nameless language I might have known if I stayed in school longer than sophomore year in high school. I called out in warning, but by the time he looked up, it was too late. The last thing I saw were his widened dark eyes as he toppled over me, sending us both to the ground. He held his arms out to break our fall, but that didn’t work much for me; I fell on my shoulder to protect my head and neck, probably cutting it badly with the cement. The guy got up, a bewildered expression on his countenance, looked behindShow MoreRelatedDiscourse Community At Colleyville Heritage High School Theater Department Essay1506 Words   |  7 PagesA lot of us have been in a discourse community without even knowing it. They are so easy to be a part of, you are practically born into one, for your family has a culture and background, which fits the definition of a discourse community. I am actually a part of a few communities myself, and you probably are too. Some examples of mine are my family, being a UTA student, Italian, a woman and a part of UTA’s musical theater program. Which brings me to the most important community I have been a partRead More Gaining a â€Å"sense of the arts† through music Essay1266 Words   |  6 Pagesthe world. Feeney et al, (2006) emphasises that arts such as music help children to develop their senses and they are essential part of children’s growing up. Listening to music is fundamental to all forms of music-making and musical experience. To hear music is relatively easy, provided no physical barriers exist. However, to listen to music with understanding and comprehension requires repeated exposure and guided learning. The ability to listen with understanding and comprehension enhances all learningRead MoreMusic s Impact On The Music Revolution1729 Words   |  7 PagesMusical revolutions can be defined by three key aspects which are: the venues music was made in, the way the audience listened to t he music, and the way the music was disseminated. These are unique in that there is no clear separation between them and at times some of the changes that have been made can impact all three at the same time. The age in which we live in is experiencing all of these aspects to one degree or another. It is difficult for someone my age to understand that we are living inRead MoreFive Key Roles Of A Musical1286 Words   |  6 PagesFive Key Roles involved in the production of a Musical: 1) The director is, â€Å"a person who supervises the production of a show (as for stage or screen) usually with responsibility for action, lighting, music, and rehearsals† (merriam-webster.com). They are important because they bring the vision of the show to life and ensure that everyone is doing his/her part to aid in that process. 2) The choreographer is, â€Å"someone who composes choreography† (Lexicon Publications 174). In essence, the choreographerRead More Cause and Effect Essay - Moving to a Large City681 Words   |  3 PagesCause and Effect Essay - Moving to a Large City Whoosh! That is the precise sound I heard as the crazed flock of travelers headed for the train terminal. My best friend, Stacy, and I were left disoriented and understandably confused once the crowd thinned. We were at Madison Square Garden at the train terminal awaiting our train back to the hotel; it was our first trip to New York City. As one may imagine, it was a fascinating and surreal voyage into extreme urban life. It was so enthrallingRead MoreMusic, Childood, and Growth Essay1159 Words   |  5 Pageschildhood music are â€Å"Brahms’ Lullaby,† â€Å"Tse Tse Kule,† and â€Å"Nobody’s Perfect.† â€Å"Brahms’ Lullaby† as written by Johannes Brahms and was published in 1868. It is better known as â€Å"Wiegenlied.† Brahms wrote the piece in celebration of Bertha Faber, a friend of Brahms, who had just given birth (Columbia Electronic Encyclopedia). Although the lullaby is a classical piece of music, it is very evident in today’s culture. It is a very popular piece that parents hum or sing in order to calm down a crying childRead MoreConcert Report On Music Concert1143 Words   |  5 Pageswith a performance even if some incorrect notes were played. I was more of a referential listener because the music was soothing and brought my mind to peaceful thoughts. This essay will tells my experience of the concert in order to persuade my friend to   attend a classical music concert with you in the future. There were a total of four music pieces performed. They were â€Å"Overture from the Singspiel†, â€Å"Concerto in e minor†, â€Å"Concerto on b minor,opus 104†, and â€Å"Symphony#2 in b minor, opus 5†Read MoreAn Analysis Of Alan Irwin Menken, An American Film And Musical Composer, And A Pianist1319 Words   |  6 Pagesconcentrate on the movie itself. However, without the music, the films will not be able to grasp the audience and anchor the emotion of enchantment. It is the song that allows the mood and atmosphere to be set. Alan Irwin Menken, an American film and musical composer, and a pianist, was born on July 22, 1949. He has composed music for many Disney films such as The Little Mermaid, Beauty and the Beast, and Aladdin, just to name a few. From a very young age Menken dreamed of becoming a composer. â€Å"IRead MoreChallenging Alzheimers Disease Behaviors : A Study936 Words   |  4 Pagesstimuli. Music can be a backdoor into their mind and a melody or a beat can transport them somewhere; back to their past, a place, event, or a relationship, thus provoking a sentiment, stimulating a memory or a feeling (Morgan, 2015). Music therapy is easy to incorporate into daily care and is inexpensive compared to the use of pharmaceuticals. Music therapy is best done on an individual basis, so the use of headphones is important. The volume of the music should also be adjusted to the patient’s hearingRead MoreEssay on The Kind of Friends We Used to Be by Frances ORoark Dowell1048 Words   |  5 PagesThe Kind of Friends We Used to Be SOAPSTONE *In The Kind of Friends We Used to Be, there are two main characters, Kate and Marylin, but I’m just going to do Marylin for the parts where information about only a single character is needed. Characters Marylin is a cheerleader who cares too much about makeup and her hair. â€Å"Marylin was now a middle-school cheerleader and cared too much about her hair†¦ she was a big believer that life could be just the way it looked in girls’ magazines, where you and

Greek Tragedy And The Morality Of Greek Culture Essay

Greek Tragedy and the Morality of Greek Culture Theater in ancient Greece was considered the climax of the days long cultural festival of The City Dionysia. At the festival, various types of plays were shown but one of the most popular was tragedy. These tragedies show the main character, usually a god or person of myth, going through human suffering and the terrible sequence of events that followed; and were produced in 472- 401 BCE. In order for a play to be performed at The City Dionysia festival; tragic playwrights would first have to appeal to the state official that was organizing the festival by submitting ideas to him and his committee. The ideas submitted were outlines of main themes and points of interest to be performed in the play. If a playwright was selected by the state official and his committee, then they received a financial backer and a chance to compete in the drama competition of the festival. The state official, or his committee, was likely pushing their own agenda and choose playwrights that matched their id eals. This is just one example of how theater in ancient Greece was used to influence the morality of Greek culture by using the stories of tragedies, like those of Euripides. The City Dionysia Festival was a celebration of the god Dionysus’ arrival in Athens in mythical times and was usually held annually between March and April. The festival and theater performances were ways of honoring the god Dionysus, who is the god of the grape harvest,Show MoreRelatedGreek And Roman Influence On Western Culture1063 Words   |  5 PagesGreek and Roman Contribution To Western Culture Greek and Roman culture are the most often thought of in history, and that is due to the many contributions it had to the future. Greeks were very philosophical and were constantly questioning morality. The Classical age of the Greeks, 479-323 B.C.E., is mentioned in reference to tragedies. During this age, Greeks were exploring their minds and searching for deeper understandings. They were also infatuated with fate and the effects of trying to modifyRead MoreHamlet, Prince of Denmark825 Words   |  4 PagesWilliam Shakespeare Submitted by: Tariq Khan Dated: Monday, 24th September, 2012 Hamlet as a Tragedy by William Shakespeare 1.1. Brief Introduction to Tragedy: Greek and English: Elizabethan tragedy is traced back to Greek tragedy, since Greeks are said to have pioneered the Western knowledge, be it Science, Arts, or Humanities—not necessarily Technology. The rich contribution of Greek dramatists like Sophocles, Euripides, Aeschylus and Aristophanes, is noteworthy, towards the developmentRead MoreAnalysis Of Nietzsche The Birth Of Tragedy1998 Words   |  8 PagesNina Melovska Essay 3 Professor: Arne Hà ¶cker GRMN 5030-001 Foundations of Critical Theory 15 December 2017 Friedrich Nietzsche: â€Å"The Birth of Tragedy† On Aesthetics for the benefit of life To look upon things from the perspective of beauty is one way of ascribing meaning to things, and whatever path we chose in the attempt to define perfection, it must have begun with the contemplation of beauty. As Oscar Wilde once wrote in his essay The Critic as Artist: â€Å"It is through art and through art onlyRead MoreNietzsche s View On The Genealogy Of Morals1553 Words   |  7 PagesAccording to Nietzsche’s assertions in the first two essays of On the Genealogy of Morals, human beings suffer because they have lost the ability to enjoy life to its fullest extent. A significant shift in morals occurred from the time of the ancient Greeks and Romans, who carried out good deeds with a surplus of energy simply because they could afford to do so, to the predominantly Judeo-Christian era of self-repression. This transition demonstrates a decline in our ability to make sense of our livesRead MoreGreek Mythology And Mythology Of The Iliad, Oedipus Rex And Others1294 Words   |  6 PagesCultures have long been shaped by mythology and religion. The impacts of ancient cultures in particular are felt worldwide through a variety of mediums. Others have referenced ancient cultures for a long time, in hopes of better understanding them. Examples of this have been seen throughout the world, especially in Greek culture. The ancient Greeks had a rich culture, which they used often in their works; examples of this are seen in the Iliad, Oedipus Rex and others. The existence of Greek mythologyRead MoreAn Ideal Hero: Greek vs. Roman Essay1527 Words   |  7 Pagescivilizations (Attached) 3. Ages of early Greek mythology to Ovid ( Poet of Metamorphoses) a. Origin of humans: sacred clay (wise and rulers) blood of titans (murderous and criminals), and stones(endurance) b. 4 ages as decline: Golden (peace), Silver (seasons farming), Bronze (war), Iron (mining, deforestation, crime). 4. Dominant and alternate cultural themes in the Iliad Audience: upper-class men Purpose: cultural propaganda. Greek Heros= models of courage skill to men (whatRead MoreSimilarities Between Roman And Roman Cinema1506 Words   |  7 PagesNumerous influences established Roman theatrical entertainment. Etruscan and Greek antecedent are what predominantly shaped ancient Roman entertainment. Etruscans were people who lived in modern day Tuscany and parts of Umbria (Beacham, 1991). Rome inherited all attributes of the Etruscan religious festivals, where various theatrical performances were given, ranging from acting to chariot racing. For instance these carnival-like festivals occurred to please the gods though theatrical offerings. AnotherRead MoreAnalysis Of Oedipus The King 1696 Words   |  7 PagesHUMN 1110 1 October 2014 Fatalism in Oedipus the King Tragedy has always been considered the highest form of literature; Oedipus the King is written by Sophocles who is one of the three ancient Greek tragedians, it fully represents the enduring charm of the ancient Greek tragedy, leaving the reader endless thinking. Through Oedipus’ misfortune, Sophocles tries to reveal the cause of their tragedy is ubiquitous and ever-present fate, rather than people themselves, dominatesRead MoreThe Epic Of Gilgamesh 1523 Words   |  7 Pagesof Gilgamesh is important in the study of early civilizations especially the Sumerian society in regard to culture and religion. The story depicts a religious society that believed in supernatural powers that punishes people for been sinners. The story is also significant in understanding the values, norms and beliefs of the Sumerians. In particular, we learn that the Sumerians valued morality, loathed beastly acts and believed in just leadership. The main themes in this epic of Gilg amesh are deathRead MoreComparing The Religions Of Hinduism And Buddhism Essay1459 Words   |  6 Pagesthat will never die out. #4) Discuss the philosophical and cultural contributions of the Ancient Greeks. How did thinkers such as Socrates, Plato, Aristotle and the later Hellenistic philosophers shape the world, and what culture does the world gain from the Greeks? There are a considerable amount of cultures that have impacted the world, but one of the most dominant is Greece. The Ancient Greeks have brought several influential aspects to the world including politics, philosophy, art, science

Alchemy Case Memo free essay sample

The passing of the Sarbanes-Oxley Act of 2002, as well as the numerous corporate frauds and bankruptcies over the past decade—including some from Fortune 500 companies such as Enron, WorldCom, and Tyco—reinforced the need for a strong system of internal controls, and significantly increased the awareness of management, investors, the Congress, and the public of the importance of a strong system of internal controls. Further, without effective internal controls, management, as well as investors, have little assurance that fraudulent, improper, and abusive actions are being prevented or, if occurring, are being promptly detected with appropriate corrective actions taken. Assessing the internal control environment, as well as the design of the controls themselves, continues to be an integral step in our auditing process. Without taking the time to understand and assess a company’s controls, not only would the firm not be in compliance with generally accepted auditing standards and the Sarbanes-Oxley Act of 2002, but we would also be unable to provide the comprehensive and reliable audits that the firm’s clients have come to expect. The purpose of this memo is to discuss the results of the audit team’s assessment of Alchemy Inc. ’s internal controls—including identifying missing controls, control weaknesses, and opportunities for fraud—and to recommend improvements to address any weaknesses. In order to gain an understanding of Alchemy Inc. ’s internal controls, our team obtained and reviewed corporate policies and guidance, as well as audits and reports conducted by the company’s internal audit department. We interviewed personnel across the organization regarding company policies, operations, and their specific job functions. These personnel included management, the internal audit department, and staff from the receiving, shipping, and operations departments. In addition, the team conducted a walk-through to observe the processes and controls in place across the company. During our analysis of Alchemy Inc. , our audit team identified internal control weaknesses that leave Alchemy Inc. vulnerable to fraud, errors, and abuse. While the team found numerous control problems across the company, our memo describes only those control problems which the team believes to be the most significant. We organized these weaknesses into two separate categories: (1) executive management and internal audit department weaknesses, and (2) operations (control weaknesses found in the company’s receiving, processing, and shipping departments). Within these two categories, we classified the weaknesses by severity (material weaknesses, significant deficiencies, and control deficiencies) and provided what we believe to be cost effective recommendations for overcoming each of these weaknesses. Executive Management and Internal Audit Department- Current Control Environment, Oversight, and Monitoring Are Material Weaknesses At the executive management and internal audit department levels, the team identified two internal control weaknesses, both of which represent material weaknesses. These two material weaknesses are (1) an ineffective control environment and (2) ineffective oversight and functioning of the internal audit department, including the department’s risk assessment and internal control monitoring responsibilities. Material Weakness: Ineffective Control Environment While the team found that management does have company-wide procedures and controls in-place, neither employees nor management demonstrated an understanding of the purpose or importance of the controls. We found that although a code of conduct, ethics hotline, and newsletter exist, none were consistently used, enforced, or reinforced by company employees or management. For example, upon joining the company, employees must sign a code of conduct; however, management has not made a sustained effort to implement or reinforce the code. Potential for misstatement fraud: Compliance with the established procedures and controls were found to be ineffective. The fraud reporting process, technically put in place does not serve its intended purpose. The ineffective control environment has created an attitude and tone across the company where errors and inappropriate behavior may be seen as acceptable, thus creating opportunity for concealing fraud and potential misstatements. †¢Recommenda tion—The team recommends that Alchemy Inc. ncrease awareness of the code of conduct by posting it around the facility and reinforcing it when needed, such as through periodic meetings specially designed to address this issue. In addition, the company should actively distribute the company newsletter—for example, delivering a copy to each employee personally—rather than passively leaving it out in the break room or distributing it via email. Management should also actively encourage employees to use the ethics hotline and other feedback venues, such as email or an anonymous suggestion box for employees without access to email. Further, management needs to demonstrate actions on the feedback by monitoring the effects of the tips and feedback and communicating these effects when improvements are made, while preserving the anonymity of the proponent. Material Weakness: Ineffective Functioning and Oversight of the Internal Audit Department The team found Alchemy Inc. ’s internal audit department to be largely ineffective due to the weaknesses in managing the department, the experience of the department’s personnel, and the department’s oversight and monitoring across the company. Currently, the internal audit department is under the direction and supervision of the CEO, not the audit committee as best practices dictate. Further, the internal auditor and his staff do not have the appropriate level of experience and qualifications needed to design and apply effective control procedures. For example, the team questions the validity of the CPA license one employee was able to obtain in only two days over the internet. In addition, the department does not perform any periodic oversight of processes across the company, monitoring to see if the controls are in place and functional. For example, the receiving clerk said that in his two years at the company, the receiving process has never been reviewed by the internal audit staff. †¢Potential for misstatement fraud: A serious conflict of interest can occur not only when an internal audit department is directly supervised by management, but also when its agenda and work is approved by management. By doing so, management has the opportunity to create fraud and misstatement by directing the internal audit department in a way so that the fraud will not be discovered. This problem is only exacerbated when the internal audit department does not have the necessary experience to regularly test the design and operational effectiveness of controls across the company. Furthermore, if the internal audit department is not regularly conducting oversight and monitoring of the effectiveness of controls across the company, management will not know how effective the controls are. In addition, the lack of consistent oversight creates a favorable ground for the proliferation of misstatements or frauds by the employees, starting with low quality work and moving up to theft. Recommendation: The internal audit department should be placed under the supervision of the Audit Committee, thus eliminating the potential conflict of interest by answering directly to management. Secondly, the team recommends Alchemy Inc. to review the credentials of all internal auditors. If insufficient, Alchemy Inc. should hire at least one legitimate CPA to run the department, as well as provide and require training for auditors that lack the required experience. While training may be costly for the company, some low cost alternatives may be available, such as self-paced on-line courses from legitimate providers. The team believes the benefits of such training will greatly outweigh the costs in the long run. Finally, the internal audit department should consistently monitor controls across the company. The timeliness of monitoring plays a very important role in the internal control design. In other words, the more frequent the monitoring, the more timely the discovery of the weakness. Discovered in time, the roblems can be fixed, and the risks involved with misstatement or fraud can be minimized. Combined, the Number of Significant and Control Deficiencies within Alchemy Inc. Operations Represent a Material Weakness The team found a number of significant and control deficiencies across Alchemy Inc. ’s operations, which includes receiving, processing, and shipping. While each of the internal control problems identified are only classifi ed as a significant or control deficiency, we believe the internal control problems altogether across Alchemy Inc. ’s operations represent a material weakness. Significant Deficiency: Receiving Department’s Procedures to Process and Document Receivables Are Ineffective While the receiving clerk counts the number of bags received and records it in a log provided to management, the clerk does not retain documentation from the shipper to verify the number of items sent. Even though a shipping slip is attached to each bag, the receiving clerk does not compare this slip with the invoice or purchase order to verify the accuracy of the delivery. As a result, the number of spheres received is not reconciled with the final billing amount. In addition, the access to materials received, but not yet delivered to operations, is not restricted. †¢Potential for misstatement fraud: By not systematically confirming and documenting receipt of goods and not limiting access to raw materials, Alchemy Inc. has left itself susceptible to potential over billing by vendors and theft by employees, not just in the shipping department, but company-wide. †¢Recommendation: Upon receipt of the spheres, the receiving clerk should perform a 3-way match by reconciling his/her count with the shipping invoice and the purchase order. Upon reconciliation and completion, this documentation should be sent to the accounting department in order to verify billing amounts. Any discrepancy should be reported to the manager of the receiving department. Further, the company can safeguard access to raw materials in the shipping department by improving the monitoring system in the receiving department, such as installing a surveillance camera or restricting access to the materials- for example, placing the materials in a secure and locked storage area, such as an adjacent room, until the materials are needed. Significant Deficiency: Controls to Provide Increased Accountability Needed in Receiving Department’s Delivery and Assignment of Materials After receipt, the receiving clerk distributes the raw materials to the operators as needed. In a part of this process, the receiving clerk counts the number of spheres per bag upon delivery, but the clerk’s count is neither verified by the operator nor recorded or differentiated between sphere colors. Further, while the total count per bag is noted on a log provided to management, the assignment of each bag to any specific operator is not recorded. Potential for misstatement fraud: The following three problems create the opportunity for theft or manipulation by both the receiving clerk and operator: 1) not having the operators verify the receiving clerk’s count, 2) not recording the assignment of specific bags to specific operators, and 3) not differentiating among colors during the count. For example, since the receiving cl erk has access to the raw materials and responsibility for recording the quantity, he/she has opportunity to steal materials and adjust the records. Further, similar opportunity is provided to operators since information regarding the specific bag of raw materials, the quantities of each color within the bag, and the specific operator to which the bag is assigned are not recorded. †¢Recommendation: The team recommends Alchemy Inc. to institute controls that would help increase the accountability of both receiving clerks and operators. Upon receipt, each bag should be given a unique identification number, and the operator assigned to each bag should be recorded. During the count, the receiving clerk should differentiate between the number of gold, green, and orange spheres, providing a total for each color in each bag. The machine operator assigned to a bag should confirm the receiving clerk’s count and sign the receiving log indicating as such. Upon final processing, the total number of each sphere color processed by each operator should be reconciled with the total number of each sphere color provided to the operator. Control Deficiency: Operator Color Sorting of Spheres Lacks the Needed Controls In some instances, spheres that are neither gold nor green will be delivered and processed by operations—employees indicated these spheres are generally orange. These orange spheres are discarded as waste, without making any notation regarding the quantity of orange spheres delivered or processed. In addition, the spheres in the color sorting bins are not counted or inspected. Therefore, a gold sphere could easily be misplaced in the green bin or thrown away. Potential for misstatement fraud: While the gold and green spheres have revenue value to the company, orange spheres do not. By not quantifying the number of orange spheres delivered, Alchemy Inc. is not holding its suppliers accountable for delivery of unwanted raw materials that have no value. By not holding suppliers accountable, the company is being consistently over-billed for these raw materials by its suppliers. In addition, by throwin g these orange spheres in the waste and not keeping a record of them, the company is not holding operating employees accountable and providing them with the opportunity for fraud. Recommendation: We recommend that Alchemy Inc. input an internal control to help hold both employees and vendors accountable. Alchemy Inc. should create a separate bin for the orange spheres to be placed during sorting and include the total number of these spheres in the reconciliation process. In order to keep accurate records and inspection of the spheres, the operator should count the spheres in the color sorting bins and inspect that no spheres were accidentally placed in the wrong color bin. In addition, Alchemy Inc. hould explore opportunities for resale of orange spheres, which may have value to other customers, as well as pursuing the possibility that these spheres could be returned to the supplier for credit. Significant Deficiency: Improvements Needed in Controls for Counting Helixinated Spheres In processing spheres, we found that green or orange spheres are sometimes placed in the helixinator by accident. When this occurs, the operator places the green (which are sold much cheaper) and orange spheres (which have no residual value) in the correct bin (either the green storage bin or trash bin if the sphere is orange) at the end of the process. Notation of these errors is not made, and the count provided by the laser counter at the end of helixination process is not adjusted. †¢Potential for misstatement fraud: Since this final helixination count is used for both recognizing revenues and determining employee wages, the most important result of operators not correcting or noting mistakes in the final helixination count is that the company consistently and inaccurately recording revenues and employee wages. Since operators currently get compensated based on the number of spheres processed through the helixinator, employees have incentives to inflate the final helixination count. For example, this can be accomplished either through re-processing the same spheres, or through processing incorrectly colored spheres. †¢Recommendation: The team recommends Alchemy Inc. to institute a procedure where operators document, either on an existing log or a new log, the number of non-gold spheres placed in the helixinator accidentally. Also on this log, the operator should record the number on the laser counter at the beginning of the bag of raw materials and the number on the counter once the entire bag has been processed, thus allowing for precise and accurate reconciliation. To provide an additional level of accountability and certainty in recognizing revenue, the company should record revenue based on the number of items actually shipped, not based on the number of spheres on the helixinator counter. In addition, to improve the accuracy of employee wages, the company should either: (1) use reconciled helixinator counter numbers to determine wages, such that employees are not paid for non-gold spheres, (2) adjust the employees’ pay scale to be based on total spheres processed, which would include all of the gold, green, and orange spheres, and not just those spheres that have been helixinated, thus eliminating the incentive for errors, or (3) a combination of both 1 and 2. Control Deficiency: Additional Controls Needed for Incomplete Processing Remaining at the End of a Shift At the end of a shift, any spheres remaining in the size separating, color sorting, or helixinating processes are left as is and are completed when the shift begins the next day. †¢Potential for misstatement fraud: By leaving valuable raw materials in areas with minimal access controls, the company is providing all employees and staff, including cleaning and maintenance personnel, with the opportunity for theft. †¢Recommendation: We recommend Alchemy Inc. o either: (1) have an operator record on their log, at the end of the shift, the number of each color sphere at each phase of the process, to be certified by a supervisor and spot checked as needed (but on a regular basis); (2) provide an analysis of the amount of time an operator takes to process one bag of spheres and create a policy or standard procedure, such that an operator does not start a new bag if it can not be completed within a reasonable amount of time of the shift ending to minimize overtime (for example, within 15 minutes). Since operators are paid per processed sphere, and not hourly, they should have extra incentive to work to complete as much inventory as possible within a given day; or (3) put controls in place to significantly reduce all open access to spheres during non-shift times. For example, placing a lid and lock on the holding tank; locking the trap doors; removing all inventory from conveyors, labeling them and placing them in a secure location; and locking all completed spheres, green and gold, in secure locations. Control Deficiency: Additional Controls Needed for Transfer of Processed Spheres from Operations to Shipping After the spheres have been processed by an operator, a shipping clerk makes note of the number on the laser counter, but does not confirm the count, sorting, or packaging of the final product. †¢Potential for misstatement fraud: By not confirming the count, sorting, or packaging of the final product, Alchemy Inc. posses the risk of incorrectly billing, either over-billing or under-billing, the client. Further, not having a final count of spheres performed by both operators and shipping clerks, leaves Alchemy Inc. ulnerable to employee theft. †¢Recommendation: The team recommends that upon arrival to pick up processed spheres from operations, beyond recording the number of the laser counter, the shipping clerk should verify the operator’s final processing logs by counting the number of green and gold spheres he/she is picking up. Since the clerk is counting t he spheres, he/she will simultaneously be conducting a quality check, ensuring that no spheres were packaged incorrectly (that is, putting a gold sphere in a bag of green spheres, or vice versa). Upon reconciliation and completion of the quality check, the shipping clerk should sign the operator’s processing logs providing confirmation of the number of spheres he/she is accepting. Alchemy Inc. Engagement Team Next Steps The team anticipates having the final report on Alchemy Inc. internal controls within a week of receiving your final comments. Further, in reviewing materials provided by the company, and in interviews with personnel across the company, the team came across a number of instances in which items were identified as key internal controls, but are in fact not internal controls by steps in company operations. For example, Alchemy Inc. ’s management control matrix incorrectly identifies the following steps as controls: †¢Operator turns crank which turns on the â€Å"volume-limiter† which shrinks the large spheres and turns them to small ones—By turning the crank, the operators are running or operating the machine. These actions do not provide a reasonable assurance for achieving any of the company’s objectives. †¢Color sorting operator represents a control in place to sort colors and place only the gold spheres on the conveyor to the helixination and counting process—This represents a step in processing the spheres. An example of a sorting control would be having an individual spot-check or verify the accuracy of the sorting. †¢Completeness is ensured since the tank is fully encased; and access to the size sorting process is restricted in the enclosed tubes—Both of these items are factors or dimensions of the processes in place, and are not controls to reinforce compliance or reliability. Upon completion of the final report, the team will present the findings to Alchemy Inc. ’s audit committee, after which the team also anticipates reviewing these additional findings with management and the internal audit department.