CH5 InClass - The mailroom employees send all remittances...

Info iconThis preview shows pages 1–7. Sign up to view the full content.

View Full Document Right Arrow Icon
How can the weakness be corrected? The mailroom employees send all remittances and remittance advices to the cashier. The cashier deposits the cash in the bank and forwards the remittance advices and duplicate deposit slips to the accounting department. Indicate the weak link in internal control and handling of cash receipts.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
The remittance advices should not be sent to the cashier The remittance advices should be sent directly to the Accounting Department by the mailroom.
Background image of page 2
What the amount deposited in the bank for the day sales? What is the amount recorded for the day sales? How should the difference be recorded? The actual cash received from sales was $17,572.40 and the amount indicated by the cash register total was $17,589.65. The cashier is consistently over or short, what action should be taken?
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 4
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
1 2 3 Bank service charges, $35. 4 Check for $129 incorrectly charged by bank as $219. 5 Outstanding checks, $6,137.68. 6 Deposit in transit, $7,500. 7 Customers note collected by bank, $12,000. Identify each of the following reconciling items as (a) an addition to the cash balance according to the bank statement, (b) a deduction
Background image of page 6
Image of page 7
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 19

CH5 InClass - The mailroom employees send all remittances...

This preview shows document pages 1 - 7. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online