Accounting

Computer
Language

Dacones, Mariz P.
Malazzab, Ezekiel D.
Uy, Mary Eloisa C.
Employee List
 In the ACL Desktop Education, you can see from the above picture in which the
file entitled Employee_Data_ACL, which is used to present as an example file to the
activities that were conducted in CIS auditing. These were the one of the exercise from
ACL Tutorial and Demo that can be downloaded from the Internet. Also, the first picture
presents the edit view filter dialog in which you can input data and conditions according
to what you want to do and view. Particularly as an example, a condition expression as
HireDate < 20000101. This condition filters the data that will result to viewing employees
that were hired prior to the date January 1, 2001. Moreover, you can sort the data column
ascending or descending. For example, the hired date was sorted by clicking the right
click then choose Quick Sort Ascending. By this sorting you can arrange the hired date
chronologically. These activity conducted in the ACL will determine the employee that
were hired long time ago. It is a factor for the employer and employee relationship in
which collusion and connivance can be the result. But, these fraudulent acts can be
prevented, detected, and corrected by knowing or inquiring the relationship of the
employer to the employee with observation in the movements and the hidden acts
between them. As an auditor, you must be skeptic to this situation because it may be the
one of the consideration in presenting the financial statement fairly and correctly.
Statistics

In using Statistics in ACL was the commonly used to account the population data
or the vital statistics of the particular data. Just like the sample above, by opening the
Employee_List, you can then go to Analyze >> Statistical >> Statistics. Next, choose a
data field in which you want to get the statistical data. For example, with the use of filter
condition at the same time. Clicking the HireDate and using the same condition from the
previous presentation. You have the statistics on the hired date in which highest and
lowest extremes from the data were presented in table. Also, number, range, total,
average, positive, and zeros were presented as the statistics field that represent the
summary of the whole file. This activity will help the auditor to ease and understand what
the file containing. It is time efficient because you cannot have to view the whole file and
analyze. There was a feature in which you can statistically view the whole as summary
and the important key points were shown on the screen. Like the number of employee
that have a positive amount of salary prior to the date presented from previous activity.
Extraction
 Also, aside from statistics and filter, we can also do extraction. Extraction is used
for data to extract field or attributes. Using the Data >> Extract, open the file
Metaphor_Trans_All, then click the Data tab and choose Extract then the Extract dialog
will pop up. After that, you can input the conditions and fields you want to extract to new
window in which your conditions were met. As an example, you can see that the condition
If was shown and the condition was CREDLIM >= 10000. This indicates that the data you
want to see was the credit limit of more than 10,000 currency. As a result, there were 5
data in which the credit limit is more than equal 10,000. This was used in auditing by
filtering and extracting the data that were the credit limit was so high. This may imply that
there is a long relationship or good record of the customer in the company. But, there
were time that this were override because of relationship to the person authorized in which
can be a collusion or fraud or overriding the policy that may affect the company business.
 Another example of extraction was the file of Metaphor_Inventory_2000, in which
it is the inventory as of the year 2000. We can also use extraction to determine the
inventory on hand or represent as QTYOH. Open the file then click the Data >> Extract
this will again pop up the extraction dialog box and you can again input the conditions
and data you want to extract. For example, as shown above the condition expression was
QTYOH <= 0, this indicates that the result will be all the inventory that were less than
equal to zero. This was used in auditing by determining the inventory list if the physical
substance was reconciled with the records. Also, it can be a part of the business operation
if they were using Electronic Data Interchange (EDI). It was used for online procurement
process that the business will automatically order the inventory when it reaches the
minimum limit.
Stratify

There were many activity and features that were programed to the ACL software.
That was why it was used by the companies worldwide because of its friendly user
interface. One of the useful tool is the Stratify, activity in which we analyze the data
according to the interval given. We can do this by opening the file you want to stratify then
clicking the Analyze >> Stratify and the dialog box will pop up. You can now input the
information you want to stratify by inputting the extremes of the range and the interval
that will be used. This stratification used in auditing as the stratifying of the data in a given
range. As an example, the BONUS field was used to stratify the employee that were given
a bonus according to the condition again. As a result, the picture below will appear in the
new window and you can analyze the data that you choose a while ago to show the data
of the employee related to the audit. Also, Analyze >> Statistics can be used as an
alternative to the stratification but a little different in presentation. But, they have almost
same objective to analyze the whole population as summary of all the data.
Filtering
 In filtering, you can filter the table by using the conditions you have entered. For
example, in the Metaphor_AR_2002, you want to know the data that the amounts under
the Accounts Receivable that were less than equal to zero balance. It can be either on
the function dialog box or directly typing the expression in the above wide bar. This was
use by auditor to determine the balance of the customer that were zero or no receivable
pending and the negative balances in which it indicates that these negative Accounts
Receivable balances were the company has been collected excessively from the
customer or there were means that there was error in inputting the data. In either case,
as you can see it was useful to the auditor for their conduct of audit to the company by
substantive testing.
Sorting
After you have done all of the activity above, you can sort the data field in iehter
ascending or descending. It can be executed by doing the Right Click >> Quick Sort
Ascending, this shows the negative balances from lowest to highest. As you can see the
picture below you can notice that the amount that have negative balance were arranged
from lowest to highest. This sorting procedure was useful in auditing because it can
determine the customer that was highly at risk in which the company must return the
excess collection from that customer.
EXERCISE FROM THE BOOK CHAPTER 9 last Problem

1.
2.

2.1.
2.2.

2.3.
 2.4.

3.
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5.
AGE

COUNT
EXPORT Invoice Date

This problem cases were useful and must know by the student to apply in hands
on procedure or actual ACL Program on how it is working and how it is conducted to be
competent in the actual practice of profession.