This report has been prepared to cover the requirements of the internal control and accounting system unit of the AAT level 4 Diploma in Accounting. 1.2 looks at the need to make improvement to the effectiveness of the internal control and whether the culture of the organisation could be improved in terms of working ethically and in terms of social, corporate and environmental sustainability. 1.3 It’s about making recommendation for improvement that sees are necessary
I started my project by studying the AAT case study to clearly understand the accounting operation, procedures and the personal with different responsibility it also help to making notes and highlighting what was necessary and needed
INTRODUCTION to A-Z Vehicle Hire Ltd
4.1 A-Z Vehicle Hire was established in Northfield in 2013, as a result of a merger between three separate companies, Vans to Go, AA Milnes Car hire and Midway Minibuses. It is vehicle hire business in the region providing cars, vans and minibuses to customers, providing a bespoke service, either with or without drivers, dependent on the customers’ needs. Their main internal stakeholders are their employees and their main external stakeholders are customers, suppliers, banks and HMRC.
a-z is considered a small business, employing fewer than 50 employees, and a small accounts department comprising of six people.
Weaknesses of the accounting system.
Being based in three separate locations causes a logistical problem for the company. There seems to be a lack of autonomy and structure because the three teams are not all ‘singing from the same hymnsheet’. Different rules are being followed by the three teams, as highlighted by…
Chandra, Kate, Sue & Mark are based in Northfield, Precious is based in Midway and Joe is based in Southdown.
My recommendation is that Sage Drive or a similar accounting package should be purchased as this allows users from different locations and computers access to the same information. This would...