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CIMA Strategic P3 Question # 76 Topic 8 Discussion

P3 Exam Topic 8 Question 76 Discussion:
Question #: 76
Topic #: 8

JHU is a retail chain that has 20 shops JHU's Internal Audit Department has just completed an investigation into the operation of controls over credit card payments by shop customers In 12 cases, the shops were complying with JHU's standard procedures The other 8 shops had serious deficiencies that differed between shops.

The Internal Audit Department has drafted a detailed report on the outcome of the audit visit carried out at each shop, but has not yet submitted them to senior management.

Which TWO of the following statements are correct?


A.

All 20 reports should be placed on JHU's intranet so that every shop manager can learn from good and bad practices noted at each shop


B.

It would be a mistake to submit the reports relating to the 12 shops that were in full compliance to senior management


C.

The reports relating to the deficient shops should set a deadline for their systems to be rectified and a follow-up audit visit carried out


D.

The Internal Audit Department should consider editing the concerns arising from the investigation in order to avoid demotivating the shop managers


E.

Draft reports should be discussed with their respective shop managers, who should have the opportunity to comment before the reports are submitted to senior management


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