Some of Chester Companys cash receipts from customers are received by the company with the regular mail.

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Some of Chester Company’s cash receipts from customers are received by the company with the regular mail. Chester’s record keeper opens these letters and deposits the cash received each day.
(a) Identify any internal control problem(s) in this arrangement.
(b) What changes to its internal control system do you recommend?

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Fundamental Accounting Principles

ISBN: 978-0078110870

20th Edition

Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta

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