Question
Elaine performs many incompatible tasks. She opens the mail, deposits all cash and check receipts, and keeps the accounts receivable records.She could easily keep checks
Elaine performs many incompatible tasks. She opens the mail, deposits all cash and check receipts, and keeps the accounts receivable records.She could easily keep checks and alter the accounts receivable to cover her theft. Furthermore, she records the bills, so she could potentially bill acustomer, not record it in the books, and keep the money when the check is received. Even more troublesome is the fact that she handles the point-of-sale receipts and prepares the daily deposits, which are a substantial amount of sales (30 percent). Elaine never takes enough vacation time sothat anyone else can perform her duties long enough to check the books The employee who handles the inventory and accounts payable function also has incompatible tasks. This employee could be makingpayments to a family or friend for inventory not received. The employee who handles all receipts, stocking, and shipping of inventory is alsoperforming incompatible tasks and could be pilfering some inventory as it comes in and shipping it to himself or herself. b. Close supervision is needed for the employee working in the
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