SECTION A: CASE STUDY

QUESTION 1

This is an extract describing a fashion house noted for custom-made gowns in Ghana. Use the case information to answer the questions that follow. Pistis is a Ghanaian based fashion house headquartered in Accra. The company currently stands at the frontline of the fast growing African fashion industry while making major strides on the international markets. Pistis, at the core, prides itself on creating master pieces for every client and, as result, has garnered a name as the leader in special occasion clothes. From their unique hand beaded bridal gowns to their creative use of African fabrics such as kente, the brand aims at making every woman standout as royalty in a Pistis gown. All clothing are specially made to order and the organisation does not stock clothing. There are minimum slots per month for the clothes that can be made so its best to confirm an order when you are certain with the dates to start the process. The organisation has only one facility in Ghana but has a website where orders can be placed online. Pisits was started in 2008 by Kabutey and Sumaya right after graduating from Vogue Style School of School and Design in Accra, Ghana. The brand was founded on a common vision of uniquely providing the perfect fit and style to a fast evolving woman who exuberates ambition, reveres culture and embraces innovation. By acknowledging the demand in the growing African and global market, the brand, through the years, has grown expediently by focusing on providing customers with the best service through rigorous product development in regard to originality and quality. Pistis has been featured in various shows such as the Runway Dubai Season III, Glitz Africa Fashion Week 2013, Radiance Bridal Show and headlining 3 seasons of the Vlisco Fashion Show in Ghana. In addition, Pistis has had the opportunity to dress the finalists for the Miss Malaika Pageant Ghana for 2012, 2013, and 2014 seasons. Through the years, Pistis has had the opportunity to dress dignitaries, celebrities, corporate executives, religious leaders and most importantly, the hardworking everyday woman.


a. If a key need of the customer segment the organisation aims to fill is increase rate of innovation, how would the key customer need identified influence the implied demand uncertainty? (3 Mark) b. Which capabilities of responsiveness (mention 2) does the organisation’s supply chain possess (use information from the case to explain why)? c. How can the organisation use the pricing driver to a. Match supply and demand b. Increase responsiveness c. Increase efficiency?

SECTION B: APPLICATION QUESTION 2

ADJ Company Limited is an organisation that deals in the manufacturing of bespoke cars in Ghana. Its cars are held by distributors/retailers in intermediate warehouses and package carriers are used to transport the cars from the intermediate location to the final customer.   
As an expert in supply chain management, you are to analyse the operations of the company and submit a report detailing the following to management of the company:
a. Indicate the distribution design in use

b. An evaluation of the performance of the current distribution network compared to Manufacturer Storage with Direct Shipping (compare along 4 dimensions).
c. The types of customers and products (mention 2 each) which are more suited to the type of distribution design being used by the company than retail storage with customer pickup and why?

SECTION C: ESSAY TYPE QUESTION 3

The Internet has affected the structure and performance of various distribution networks in a supply chain. Using the case of Jumia or other relevant example state and critically discuss how online sales impacts on a supply chain’s ability to meet customer needs (discuss 4 elements)

You are an Audit Senior on the AUDIO Health Limited (AUDIO) audit engagement for the financial year ending 30 June 2019. AUDIO specialises in the design and manufacture of implantable hearing aids and invests more than twice the industry average in research and development. While undertaking audit planning procedures you become aware of the following: AUDIO has been developing its latest hearing implant, the X5, for a number of years. AUDIO has invested heavily in research and development of the X5 and has capitalised a significant amount in relation to the development phase of the product. Market studies and prototypes of the X5 have proved successful for bringing it to the market. In July 2018, AUDIO acquired two technologically advanced machines specifically designed for manufacturing the X5, at a cost of $15 million each. Production and sales of the X5 hearing implant commenced in October 2018, and demand for the product has been extremely high since its launch. AUDIO has sold large volumes of the product and further manufactured a large stockpile of the X5 in anticipation of on-going high demand, and a substantial number have already been implanted in patients. There has recently been a sharp increase in incidences of the implant shutting down postsurgery, resulting in a number of patients commencing legal action against AUDIO for damages and prompting the company to initiate a recall. Initial investigations reveal that the defect is attributable to a design flaw. It is likely that the product in its current form cannot be sold. Management of AUDIO is confident that it will be possible to re-engineer the two machines acquired for the manufacturing of the X5 to enable production of its four other product lines and potentially for other products currently under development. You have raised concerns with AUDIO’s audit committee on improving the competence and objectivity of the internal audit department. Currently, the internal audit department is made up of three recent graduates with no prior experience who periodically report the Audio’s Chief Executive Officer Dr. Dave Bautista. Required: Prepare a memorandum to the audit manager, outlining your risk assessment relating to AUDIO Limited. When making your risk assessment:

(a) Identify three (3) key account balances from the information provided that are subjected to an increase in audit risk. Briefly explain what factors increase the audit risk associated with the three (3) accounts identified. In your explanation, please mention the key assertion(s) at risk of material misstatement.

(b) Identify how the audit plan will be affected and recommend specific audit procedures to address the risks associated with each account identified.

Case Study (Part 2) – ACCT 3000 Semester 2, 2020
You are an Audit Senior on the AUDIO Health Limited (AUDIO) audit engagement for the financial year ending 30 June 2019. AUDIO specialises in the design and manufacture of implantable hearing aids and invests more than twice the industry average in research and development. While undertaking audit planning procedures you become aware of the following:
AUDIO has been developing its latest hearing implant, the X5, for a number of years. AUDIO has invested heavily in research and development of the X5 and has capitalised a significant amount in relation to the development phase of the product. Market studies and prototypes of the X5 have proved successful for bringing it to the market. In July 2018, AUDIO acquired two technologically advanced machines specifically designed for manufacturing the X5, at a cost of $15 million each. Production and sales of the X5 hearing implant commenced in October 2018, and demand for the product has been extremely high since its launch. AUDIO has sold large volumes of the product and further manufactured a large stockpile of the X5 in anticipation of on-going high demand, and a substantial number have already been implanted in patients.
There has recently been a sharp increase in incidences of the implant shutting down post-surgery, resulting in a number of patients commencing legal action against AUDIO for damages and prompting the company to initiate a recall. Initial investigations reveal that the defect is attributable to a design flaw. It is likely that the product in its current form cannot be sold. Management of AUDIO is confident that it will be possible to re-engineer the two machines acquired for the manufacturing of the X5 to enable production of its four other product lines and potentially for other products currently under development.
You have raised concerns with AUDIO’s audit committee on improving the competence and objectivity of the internal audit department. Currently, the internal audit department is made up of three recent graduates with no prior experience who periodically report the Audio’s Chief Executive Officer Dr. Dave Bautista.
Required:
Prepare a memorandum to the audit manager, outlining your risk assessment relating to AUDIO Limited. When making your risk assessment:
(a) Identify three (3) key account balances from the information provided that are subjected to an increase in audit risk. Briefly explain what factors increase the audit risk associated with the three (3) accounts identified. In your explanation, please mention the key assertion(s) at risk of material misstatement.
(b) Identify how the audit plan will be affected and recommend specific audit procedures to address the risks associated with each account identified.
(Please Note – Maximum Word Limit: 950 Words)

The 8-year-old girl who was naughty.

8-year-old girl brought to her pediatrician by her 26-year-old mother • Chief complaint: fever and sore throat Psychiatric History • While evaluating the patient for an upper respiratory infection, the pediatrician asks if school is going well • The patient responds “yes” but in the background the mother shakes her head “no” • The mother states that her daughter is negative and defi ant at home and she has similar reports, mostly of disobedience, from her teacher at school • The patient has had temper tantrums since age 5 but these have decreased over the past 3 years, especially the past year • Still angry and resentful since her little sister was born 6 years ago • Academic problems • Fights with other children, mostly arguments and harsh words with other girls at school Social and Personal History • Goes to public school • Has a younger sister age 6 • Does not see her father much, lives in a nearby city • Not many friends • Spends most of her time with her sister and either her mother or her maternal grandmother who helps with after school supervision and baby sitting

• List three questions you might ask the patient if he or she were in your office. Provide a rationale for why you might ask these questions.
• Identify people in the patient’s life you would need to speak to or get feedback from to further assess the patient’s situation. Include specific questions you might ask these people and why.
• Explain what physical exams and diagnostic tests would be appropriate for the patient and how the results would be used.
• List three differential diagnoses for the patient. Identify the one that you think is most likely and explain why.
• List two pharmacologic agents and their dosing that would be appropriate for the patient’s ADHD therapy based on pharmacokinetics and pharmacodynamics. From a mechanism of action perspective, provide a rationale for why you might choose one agent over the other.
• If your assigned case includes “check points” (i.e., follow-up data at week 4, 8, 12, etc.), indicate any therapeutic changes that you might make based on the data provided.
• Explain “lessons learned” from this case study, including how you might apply this case to your own practice when providing care to patients with similar clinical presentations.

Portfolio Project Option #2 is for accounting students who are intuitive learners by nature. You learn best from abstract materials like theories and concepts, enjoy challenges, and tend to be more innovative. For this assignment, you are required to complete the accounting case for Denver Works Co in Part 1, KPWC Service in Part 2, and Virginia Company in Part 3. Follow the additional instructions provided below.

Part 1:

Denver Works Co, a global marketing company, completed the following transactions during the first month of operations:

April 1: Denver Works stockholders’ issued 5,300 shares of $20 par value capital stock for $80,000 cash along with equipment valued at $26,000.

April 2: Denver Works prepaid $9,000 for 12 months’ rent for their office space.

April 3: Denver Works made credit purchases of $8,000 for office equipment and $3,600 for office supplies. Payment is due within 10 days.

April 6: Denver Works completed services for a client and immediately received $4,000 cash.

April 9: Denver Works completed a $6,000 project for a client who must pay within 30 days.

April 13: Denver Works paid $11,600 cash to settle the accounts payable created on April 3.

April 19: Denver Works paid $2,400 cash for the premium on a 12-month insurance policy.

April 22: Denver Works received $4,400 cash as a partial payment for the work completed on April 9.

April 25: Denver Works completed work for another client for $2,890 on credit.

April 28: Denver Works paid a dividend of $5,500 cash to its stockholders.

April 29: Denver Works purchased $600 of additional office supplies on credit.

April 30: Denver Works paid $435 cash for this month’s utility bill.

Instructions:

Prepare journals for the above economic transactions. Use the following assignment template for Denver Works Co.

Denver Works Assignment Template

Part 2:

The unadjusted trial balance of KPWC Service is entered on the partial worksheet below.

KPWC Service

Work Sheet

For the year ended December 31

Account

Unadjusted Trial Balance

Adjustments

Adjusted Trial Balance

Income Statement

Balance Sheet and Statement of Stockholders’ Equity

Debit

Credit

Debit

Credit

Debit

Credit

Debit

Credit

Debit

Credit

Cash

38,000

Accounts Receivable

10,000

Supplies

14,000

Automobiles

160,000

Accum. Depr. - Autos

  45,000

Accounts payable

15,000

Unearned fees

22,000

Salaries payable

Capital Stock

55,000

Dividends

45,000

Fees earned

275,400

Salary expense

115,000

Rent expense

30,400

Advertising expense

Supplies expense

Depreciation expense

______

______

Totals

412,400

412,400

Instructions:

Using the following information, complete the worksheet to record adjustments, adjusted trial balance, income statement, balance sheet & statement of stockholders’ equity:

(a)  Unpaid and unrecorded salaries earned by employees, $5,000.

(b)   Unused supplies still on hand is $2,000.

(c)   Machinery depreciation, $25,000.

(d)   Customers who paid $11,000 in advance have received their services.

(e)   Advertising for last quarter of the year in the amount of $4,000 remains unpaid and unrecorded.

(f)  The rent expense incurred and not yet paid or recorded at fiscal year-end is $3,000.

Part 3:

Virginia Company, a battery retailer, began year 20x7 with 23,000 units of product in its January 1 inventory, at a cost of $15 per unit. It made successive purchases of its product in year 20x7, as follows. The company uses a periodic inventory system. On December 31, 20x7, a physical count reveals that 40,000 units of its product remain in inventory.

Mar. 7

30,000 units

@ $18 each

May 25

39,000 units

@ $20 each

Aug. 1

23,000 units

@ $25 each

Nov. 10

35,000 units

@ $26 each

Instructions

Using the following template

Compute the number and total cost of the units available for sale in year 20x7.Compute the amounts assigned to the 20x7 ending inventory, and the cost of goods sold for FIFO, LIFO, and weighted average.The 110,000 units sold are $35 each. Prepare comparative income statements for the three inventory costing methods of FIFO, LIFO, and weighted average, which include a detailed cost of goods sold section as part of each statement. (Round your average cost per unit to 2 decimal places.)As the chief accountant of Virginia Company, provide recommendations, giving all reasons based on your research on retail industry inventory best practices, management on:Which inventory method (FIFO, LIFO, average cost, or specific identification) you should use.Whether it is a good idea to keep using the periodic system as opposed to the perpetual inventory system.

Reminder: Your Part 3 paper should be 2-3 pages in length total and conform to CSU-Global Guide to Writing and APARequirements.  Include scholarly references as needed in addition to the course textbook to support your views.  The CSU-Global Library is a good place to find these references.