ACME Corporation is a high-end vegetarian restaurant in the Toronto area Restaurant operations are as follows:...
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ACME Corporation is a high-end vegetarian restaurant in the Toronto area Restaurant operations are as follows: Servers take and enter customer orders into the order system using the password "server". Orders are stored in the "orders placed file" and transmitted to the kitchen staff. The order forms are thrown out once the meals are picked up. Servers enter payments into the system with the tip entered separately. The order is transferred from the "orders placed file" to the "orders completed file". Servers often help each other out by collected cash from tables and placing it in the cash drawer. At closing, the restaurant manager prepares cash tip envelopes based on the amount recorded in the system. He then clears the system of outstanding orders in the "orders placed file." The manager prepares the daily bank deposit. A cash float of $250 is maintained in the sales register. He takes the deposit home and makes the bank deposit the next morning. The bartender is responsible for all liquor sales. All liquor is stored behind the bar and expensive wines are stored in the basement wine cellar. He takes inventory weekly and calls suppliers to make the necessary orders. Instructions In your own words, Identify and explain three internal control activities that may be violated in this situation. (9 marks) ACME Corporation is a high-end vegetarian restaurant in the Toronto area Restaurant operations are as follows: Servers take and enter customer orders into the order system using the password "server". Orders are stored in the "orders placed file" and transmitted to the kitchen staff. The order forms are thrown out once the meals are picked up. Servers enter payments into the system with the tip entered separately. The order is transferred from the "orders placed file" to the "orders completed file". Servers often help each other out by collected cash from tables and placing it in the cash drawer. At closing, the restaurant manager prepares cash tip envelopes based on the amount recorded in the system. He then clears the system of outstanding orders in the "orders placed file." The manager prepares the daily bank deposit. A cash float of $250 is maintained in the sales register. He takes the deposit home and makes the bank deposit the next morning. The bartender is responsible for all liquor sales. All liquor is stored behind the bar and expensive wines are stored in the basement wine cellar. He takes inventory weekly and calls suppliers to make the necessary orders. Instructions In your own words, Identify and explain three internal control activities that may be violated in this situation. (9 marks)
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