Parts for Wheels, Inc. has historically sold auto parts directly to consumers through its retail stores. Due to competitive pressure, Parts for Wheels installed an Internet-based sales system that allows customers to place orders through the company's Web site. The company hired an outside Web site design consultant to create the sales system because the company's IT personnel lack the necessary experience.
Customers use the link to the inventory parts listing on the Web site to view product descriptions and prices. The inventory parts listing is updated weekly. To get the system online quickly, management decided not to link the order system to the sales and inventory accounting systems. Customers submit orders for products through the online system and provide credit card information for payment. Each day, accounting department clerks print submitted orders from the online system. After credit authorization is verified with the credit card agency, the accounting department enters the sale into the sales journal. The accounting department then sends a copy of the order to warehouse personnel who process the shipment. The inventory system is updated based on bills of lading information forwarded to accounting after shipment.
Customers may return parts for full refund if returned within 30 days of submitting the order online. The company agrees to refund shipping costs incurred by the customer for returned goods.

Required
a. Describe deficiencies in Parts for Wheels' online sales system that may lead to material misstatements in the financial statements.
b. Identify changes in manual procedures that could be made to minimize risks, without having to reprogram the current online system.
c. Describe customer concerns about doing business online with Parts for Wheels. What types of controls could be implemented to address those concerns?