Listers Group is the largest privately owned motor group in England, operating over 40 dealerships representing the world’s major quality motor brands.
Acting as franchise partners for Audi, BMW, Honda, Mercedes-Benz, Mini, Smart, Toyota, Volkswagen cars and commercials, Lexus and Land Rover, Listers group offers excellence In the sale of new and approved used cars and vans, servicing and parts, and have won a number of national awards in these areas.
Principles of Internal Control
1 Demonstrate an understanding of the role of accounting within the organisation
1.1a There are various accounting functions …show more content…
2 Understanding the importance and use of internal control systems
2.1a External Regulations that effect the accounting practice are as follows:· Government Legislation – Laws and guidelines, which must be followed.· HMRC – Must adhere to VAT laws· FSA – Financial Services Authority – · The FSA regulates all financial services within the UK. As we sell various Insurances to our customers and also sell products through a finance service we must follow and be regulated by the FSA. This means we must be on the register and comply with the regulatory requirements.Appendix 2 – Lepest analysis
2.2a The main types of fraud which may exist in the accounting practice are as follows· Theft· Unauthorised buying· Unauthorised Overtime· Expenses· Money LaunderingThe cause of these types of fraud arises from poor management and set up and can have a huge impact on the accounting system and businessTheft can occur by an employee stealing directly from the business either petty cash or stock, causing a direct loss to the businessUnauthorised buying which can lead to a lower profit margins – If suppliers are used that shouldn’t be.Employees might try to work more hours then required in order to push their working hours into Overtime to receive a higher rate of pay – which could be avoided if they worked at a consistent pace of which overtime would