ACCOUNTANT IN BUSINESS

QUESTION 1.

Trung Nguyen Legend, one of the largest coffee companies in Vietnam, is a

good example of the power culture model. As we know, Harrison illustrates the
power culture as a spider's web, because the key to the whole organisation sits
in the centre, surrounded by ever-widening circles of intimates and
influence. This type of culture relies heavily on individuals rather than on
committees.

When referring to the resounding success of Trung Nguyen Legend, people

always mention the name Dang Le Nguyen Vu – CEO of Trung Nguyen. It can
be seen that Trung Nguyen's success stems from the vision, strategy and
leadership style of the chairman of this group. Most of the core values and
corporate culture that Trung Nguyen aims for are greatly influenced by Mr.
Dang Le Nguyen Vu's style. Besides, the strong development of Trung Nguyen
takes place in a period of not long, which makes the pressure to work stronger
than ever, requiring every individual to react quickly and flexibly. Moreover,
Trung Nguyen's goal is to target the international market, put Vietnamese coffee
beans on the world map and compete with many other big coffee
brands. Therefore, although it is hard and reatain so much control, it can be said
that power culture fits with Trung Nguyen. Because without the main
administration of Mr. Dang Le Nguyen Vu, Trung Nguyen would not have been
able to have the great success that today.

The COVID-19 epidemic was a worldwide shock that interrupted people's

working lives. As most countries attempted to slow the virus's rapid spread by
establishing social distancing measures, organizations were compelled to
quickly implement new ways of working, such as remote working, or to
organize various types of workflow and interactions between work colleagues
or between employees and customers in physical locations. In order to maintain
its position during the difficult period of Covid-19 pandemic, Trung Nguyen has
made certain changes in culture norms. In the context of a strong outbreak,
despite facing many new challenges, Trung Nguyen Legend Group has
determined to deploy the fastest vaccination for more than 5000 employees
across the country to realize the dual goal of both fighting the epidemic and
developing the economy. In addition, Trung Nguyen also deploys for employees
to work remotely, by operating and managing online sales channel systems
through electronic platforms both domestically and internationally.

QUESTION 2.

For fraud to occur, three conditions must be met: dishonesty, opportunity, and
purpose. All three are typically necessary — for example, even if given the
chance and motive, an honest employee is unlikely to commit fraud. Fraud is
more likely to occur in a corporate setting with inadequate or non-existent
controls. The risk for fraud is significant if the control environment is soft and
management has established few particular control actions.

a. The impact of fraud on a company may be enormous. It can not only have a
huge financial impact, but it can even destroy an organization, depending on the
nature and intensity. While there are several forms of fraud, the following five
are the most damaging.

-       Financial statement fraud

Financial statement fraud, while less prevalent, may be the most destructive to a
firm. The most typical behaviors associated with this form of fraud include
overstating income, earnings, and assets, as well as understating obligations (or
just hiding them).

-       Asset misappropriation
Some of the most prevalent kinds of fraud come under the category of asset
theft, which is especially dangerous for closely held firms.

This kind of asset theft involves stealing money before it reaches the company's
accounting system. It's extremely difficult to unearth since it necessitates
locating proof of something that hasn't yet been documented. Furthermore, it
does not need a high level of skill to carry out, making it a common choice
among people who perpetrate fraud. Check tampering, accounts receivable
skimming, false billing schemes, payroll schemes, fake or duplicate cost
reimbursement schemes, and inventory scams are all examples of asset
misappropriation.

-       Theft of intellectual property and trade secrets

As our society grows more reliant on information and technology, there is an

increase in the theft of intellectual property and trade secrets.

-       Healthcare, insurance, and banking

Healthcare, insurance, and banking are all businesses with billions of dollars
passing through their systems, making them perfect candidates for this sort of
fraud. Individuals conduct this sort of fraud in a variety of ways, including
bogus health insurance claims, business insurance claims, and fake
bankruptcies.

-       Consumer fraud

Consumer fraud affects people who are targeted by scams, phony telemarketing,
email, Ponzi schemes, phishing, ID theft, and other schemes. Consumer fraud is
on the rise, whether it's a breach in an organization's system or fraudulent tax
returns filed for huge refunds. Email phishing schemes may also affect
businesses, particularly spear phishing, which includes sending targeted,
disguised emails with harmful links.
b. Fraud has far-reaching consequences that go beyond monetary loss. Fraud
has an influence on individuals, industries, businesses, services, and the
environment. Understanding the overall effect of fraud enables organizations to
make more educated decisions. Any form of fraud can have significant
consequences, whether committed by opportunistic individuals or serious and
organized crime gangs. Serious and organized crime, on the other hand, may
frequently enhance the scope and effect of fraud.

-       Financial loss: You are required to make compensation at the very

least. You may also be subject to fines and penalties, which will increase the
final cost. Depending on the scope of the fraud, you may be required to pay a
hefty fee for forensic accounting services and legal counsel.

-       Legal wrangling: Fraud often opens the door to litigation from dissatisfied

clients, investors, or anyone who have been harmed by the actions. This can
result in years – or perhaps decades – of complicated and costly legal
wrangling.

-       Loss of market confidence: Even when financial reparation has been made,
individuals associated with your company are less confident in their dealings
with you. As a result, you may lose clients or workers who are no longer
satisfied with your company's services. The capacity to attract new investors,
clients, and employees may also suffer.

QUESTION 3.

Vinamilk (Vietnam Dairy Product Joint Stock Company) is a company that is

departmentalised on functional basis. Vinamilk's organizational scheme is
professionally expressed and allocated departments in a scientific and
reasonable way, specifically decentralizing the responsibilities of each member
and department in the company.
Currently, the structure of Vietnam Dairy Joint Stock Company (Vinamilk)
includes:

The General Meeting of Shareholders

The General Meeting of Shareholders consists of all voting shareholders

(including common and preferred shareholders), which is the highest decision-
making body of the joint stock company. Shareholders are organizations that
have the right to send one or several representatives authorized to exercise their
shareholder rights in accordance with law. Where more than one authorized
representative is appointed, the number of shares and votes of each
representative must be determined.

The Board of Directors

The Board of Directors is the governing body of a joint stock company with full
authority on behalf of the Company to decide all matters related to the purpose
and interests of the company, except for matters under the jurisdiction of the
General Meeting of Shareholders.

The Board of Directors has no less than 3 members, no more than 11 members,
if the Company Charter has no other provisions. Board members are not
necessarily shareholders of the company.

The director or general manager of the company

A director or general manager is the person who runs the day-to-day business of
the company. The director or general manager of the company appointed by the
Board of Directors or hired by another, is under the supervision of the Board of
Directors and is responsible to the Board of Directors and before law for the
exercise of the assigned rights and duties. In case the company's charter does
not stipulate that the chairman of the board of directors is a legal representative,
the director or general director shall be the legal representative of the company.
The control board

For joint stock companies with more than 11 shareholders who are individuals
or whose shareholders are organizations that own more than 50% of the total
shares of the company, they must have a control board.

The Supervisory Board has 3 to 5 members if the Company's Charter has no

other provisions; the term of office of the supervisory board shall not exceed 5
years; Supervisory board members may be re-elected for an unlimited number
of terms. The members of the supervisory board elect one of them as the head of
the control board of the rights and duties of the head of the supervisory board
prescribed by the Company Charter. The Supervisory Board must have more
than half of the permanent members in Vietnam and must have at least one
member who is an accountant or auditor.

Vinamilk's organizational structure has many advantages and disadvantages.

-       Advantages: The working departments will receive direct orders from a

superior leader. This facilitates close mid-level inspection. For example, senior
managers are accountable to the General Manager for all department
operations. Receive the company's planned targets, exploit implementation. In
addition, Vinamilk's organizational structure helps to fully promote the
advantage of specialization of the industry according to the functions of each
unit. Retain the power and credibility of the main functions. Simplify
training. Pay more attention to professional standards and employee
status. Bring high performance to the day-to-day task. For example, the General
Director authorizes the DIRECTOR of human resources administration to carry
out the recruitment in the best way.

-       Disadvantages: It is easy to lead to conflict patterns between functional

units when setting goals or strategies. The responsibility for implementing the
overall objectives of the organization is often assigned to the high level of
leadership, so there will be a lack of coordination of action between functional
departments. In addition, when highly specialized, managers will have a narrow
vision because only in their expertise, not really doing well or paying attention
to other expertise, limiting the development of the general management
team. For example, the General Director gives the executive director of human
resources on human resource selection, personnel allocation, management of
personnel complaints,.. So then the HR executive will only care about those
issues and not in other areas.

However, despite the many advantages and disadvantages, after more than 10
years of continuous improvement and improvement of the system, management
is a factor that has helped Vinamilk stand up in the context of many challenges,
especially in the context of the current Covid-19 pandemic. Good corporate
governance, in the long term, can be seen as the key to raising the value of the
business in general, which is a necessary condition for sustainable development.

QUESTION 4.

Company X in frozen food.

Company size: Large-scale business. The total capital of the company is VND

100 billion with a total staff of nearly 1000 people, currently there is no
obligation to the State Budget. The company has 1 head office, 5 manufacturing
processing plants and 15 frozen warehouses with extremely large capacity.

Type of product: Frozen vegetables.

Type of Company: State-of-the-nation company.

Import country: Japan

Company feature: 10 years in the processing and exporting of frozen

food. There are diverse supplies, most of which come from vietnam's large
farms. The company has a separate control board independent of the executive
board and regulations and control procedures are relatively strict. Having
achieved a number of achievements in the relevant field, there are always
relatively clear business plans and financial estimates. Every year, the company
exports thousands of tons of frozen vegetables and vegetables to Japan, a
country that is very strict in the import and export process.

Company financial situation: More than 90% of its revenue comes from
import and export activities. In the past, Enterprise X always paid interest and
principal on time, ensured the solvenage of the enterprise in the past 10 years
and had assets to ensure high liquidity, always providing this with enough
information on time. However, there was a late credit of $8 billion a long time
ago.

Company oriented development: The food industry is considered to have the

prospect of upcoming growth that creates growth opportunities for the
company. Especially in the context of the Covid-19 pandemic, the consumption
of frozen and processed foods is trending up. Currently, the brand and
reputation of X Company is widely known in Japan, has a highly competitive
position. However, currently, Company X is still highly dependent on partners,
there are many competitors in the industry, the number of companies entering
the industry tends to increase sharply in the near future. Besides, exports are
gradually becoming more difficult, and Company X has reduced revenue
sources as well as no plans to diversify the industry.

SWOT ANALYSIS
Strength Weaknesses
-       Many years of experience in the -       As a state-owned enterprise,
company's field. Enterprise X also has some obstacles
such as procedures for presentation,
-       Diverse supply, prestige
reporting and approval with
-       As a state-owned enterprise competent agencies will be
(enterprises will be more favorable in complicated and cumbersome,
terms of capital due to 100% state causing urgent investment
investment, and are facilitated in opportunities and activities to be
many aspects such as policies, ignored, interrupting the project
technology, taxes, and protection, so progress.
the trust for import partners is also
-       The company once had an $8
higher)
billion late credit.
-       Clear, independent
-       It depends on the partners.
organizational structure
-       Negatively affected by the
-       There are always relatively
epidemic situation on import and
specific business plans and financial
export activities (the company's main
estimates.
source of profit)
-       Stable financial operations
-       There is no plan to diversify the
industry.
 
Opportunities Threat
-       The frozen food industry is -       There are many competitors in
having high development prospects the industry.
=> Creating opportunities for
-       The number of companies
development, dynamic autonomy for
entering the industry tends to increase
enterprise X
sharply.
-       The brand and reputation of the
-       The financial capacity of the
business are widely known in Japan
business will be severely affected if
=> Enhancing the competitiveness of
export activities are hindered
the business for competitors in the
same field