Problem 1

Metaphor’s credit card policy:

Metaphor Corporation incurs significant expenses in several categories like;

 Travel
 Entertainment
 Client service
 Professional development
 Internal office expenses.

Most of the employees of the company have a company credit card. Employees have to use the
company credit card for any kind of purchasing of products or services for the company. They are also
expected to charge expenses to the company credit card for their own professional development like,
courses, books, journal subscription and professional membership. Employees have to entertain clients
and any prospective clients as appropriate and some employees are also responsible for purchasing
supplies for the company. All these expenses have to be done by using a company credit card. Metaphor
also has the policy of assigning all the purchases to a customer number. Most of the customer numbers
correspond to external clients, except the customer numbers starting with zero, which correspond to
internal departments.

Certain categories of transaction like, employees using company credit cards for gambling, are
unacceptable. Company sometimes approves transactions in other categories with permission granted
in advance.

Problem 2

Financial statement audit process and ACL:

1. Terms of Engagement
Terms of engagement or an Engagement letter is used to formalize the arrangements reached
between the auditor and the entity. It states a contract between the auditor and the
management. ACL is not relevant for this process, because ACL can not help with the contract.
2. Evidence
Evidence process includes obtaining evidences for auditing, conducting transactions and
accumulating transactions into account balances. ACL can be used for this audit processes.
3. Assertions
Assertions process includes teste management assertions against criteria (GAAP) and preparing
financial statements. ACL is relevant to this process.
4. Communication
Communication is issuing audit report to accompany financial statements or issuing financial
statements to users. ACL is not relevant to this audit process.
Problem 3

Some of the ways ACL can be used to by auditors are described below:

1) ACL can be used to by auditors for Enterprise risk assessment, like:

 To assess & track strategic risk to projects;

 To collaborate with executive stakeholders directly with risk surveys;

 To align mitigating activities to important objectives;

 To measure control effectiveness across a project using a risk assurance score.

2) ACL can be used for Workpaper management, like:

 For operational audit auditors can test each procedure or control and directly attach
supporting evidence for transactional data where necessary;

 For comprehensive audit auditors can walk through each control or procedure to make sure
it’s designed appropriately.

 If supporting evidence is attached in a Microsoft office document, it can be edited directly

from the browser.

 Auditors can create request item for any relevant stakeholders to collect required
information to complete audit.

3) ACL can be used for integrated audit analytics. Auditors can easily manipulate columns unlike Excel,
can get quick summaries and build complex filters. Unlike the I-tools, in ACL everything is auto log
and these auto logs can be saved as scripts. Visualizations can also be done and can be shared with
their colleagues.

4) ACL also offers interactive online training in their academy.

5) Auditors can do remote offline auditing using ACL.

6) ACL GRC audit management system, that helps audit teams to automate their issue management
process.

7) ACL helps audit team to be more productive by consolidating all analytic work and automate
repetitive tasks, safe-guarded on a secure server.

8) ACL GRC result manager helps auditors to streamline their results management process.