The internal control evaluation of production, storage and goods issued of the main products— perlite
Overall, the internal control of the production, storage link exist serious deficiencies in the audited units.
1. The amount of the production is beyond the control, resulting that it couldn’t be made sense of the specific number of inventory.
2. Without the original records of the warehousing of the finished products.
3. The signature of several duplicates of delivery list is not complete, and the duplicate is not enough. The transmission line is incorrect.
4. The warehouse dose not set up the machine account in amount, and there is no full-time or part-time custody staff, which lead the warehouse exists in name only, and affect the financial department couldn’t supervise the storage department.
5. It lacks of the necessary control system of the bulk package returning to repackage in the warehouse.
6. Logistics department is approval department of shipment and also the shipment department. It dose not achieve proper segregation of incompatible duties.
7. The check-out system is a mere formality, because there is no system to control whether the doorman's authentication system is carried out.
