Bissie 1 Borough of Manhattan Community College ACC 331-Fiterman 245 Greenwich Street New York, N.Y. 10007 June 12, 2019 Dear Members of ACC 331: As CFO of Diaz-Dillion's Diamonds (DDD), I would like to engage your services and the services of your firm to provide recommendations for the following situation. Last year DDD purchased ordering" system, with individual orders ranging from $5,000 to $40,000. Special orders are for low-volume items that have been included in a department manager's budget. The budget, which limits the types and dollar amounts of office equipment a department head requisition, is approved at the beginning of the year by the board of directors. The special ordering system for functions as follows: over $100 million worth of office equipment under its "special can Purchasing: A purchase requisition form (PR) is prepared and sent to the purchasing department. Upon receiving a PR, one of the five purchasing agents (buyers) verifies that the requester is indeed a department head. The buyer next selects the appropriate supplier by searching the various catalogs on file. The buyer then phones the supplier, requests a price quote, and places a verbal order. A purchase order (PO) is processed, with the original sent to the supplier and copies to the department head, receiving, and accounts payable. One copy is also filed in the open-requisition file. When the receiving department verbally informs the buyer that the item has been received, the PO is transferred from the open to the filled file. Once a quarter, the buyer reviews the unfilled file to follow up on open orders a. Describe the weaknesses relating to purchases of "special orders" at DDD. b. Provide recommendations that must be added to mitigate weaknesses identified in part My team of advisors would really appreciate your advice. Sincerely CFO, Diaz-Dillion's Diamonds (DDD)