BAC4674 INTEGRATED CASE STUDY
CASE STUDY 1
Mustapa Kamal Mohd Razali
Azbir Abu bakar
Instruction to Student
Please answer the following questions for case activities/tasks and submit a report base on the case questions. These activities/tasks are to be carried out as a group work base on the group that has been assigned to individual student. The students should have basic knowledge of financial accounting, audit, corporate governance and ethics, procedure and control.
1. From the legal perspective, were there any abuses of power by the management and breach of fiduciary on the part of the directors?
There were any abuses of power by the management and breach of fiduciary on the part of the directors as Mr Zayed and Puan Hashimah simply withdraw the money from the company without proper documentation as well as the inclusion of personal vehicle expenses to the company.
2. Who should be held responsible and accountable?
Mr Zayed and Puan Hashimah should be held responsible and accountable as they are the top management who made and authorised all the decision of which they do not acknowledge the importance of Company Act 1965 and accounting standards. Besides that, there were no comprehensive business plan and budget prepared at the initial stage and thus no evaluation can be made on the result of the business. On the other hand, Encik Zayed was not willing to invest on necessary training to enhance the knowledge of the employees because they think that the employees have sufficient capabilities in performing the tasks.
3. Could the Audit be completed soon without any qualification? From the financial perspective, discuss and recommend objectively the most appropriate solution for Delima Enterprise Sdn Bhd (DESB) financial management and operations.
It cannot be completed in short term because of lack of qualification among employees and there is no proper and enough...