George owns a small recreational trailer business in a suburban community located close to the mountains. The community is relatively small but growing rapidly. George's business is growing, not because of his effective sales style and personality, but because of the growth of the community. Currently, George's competition has been nearly nonexistent, but as the area grows he expects to encounter increasing competition. George sells mostly trailers for vacationing and camping. When customers arrive on George's lot, they are greeted by a salesperson. The salesperson may show the customers the trailers on the lot, but the salesperson need not be present during the entire showing. Depending on customer preference, the salesperson will either take the customer on a tour or thtljcustomer may roam the lot freely, inspecting trailers at their leisure. Since recreational trailers are fairly large-ticket items, customers often leave the lot without making a purchase, only to return another day to purchase a trailer. When the customer decided to make a purchase, the salesperson initiates a series of procedures to properly document the order and sale transaction. First, the salesperson determines the model of the selected trailer and offers the customer a list of options that correspond to the particular model. The customer may (1) purchase a trailer off the lot with no added features, (2) purchase a trailer ff the lot with additional features, or (3) special order a trailer that is not currently on the lot. In most cases, customers do not pay cash for their trailers. If, however, the customer pays cash, a simple sales contract is prepared and the customer drives off with the trailer. The majority of the customers use an installment method of purchase. Before an . stallment purchase is authorized, the customer's credit must be verified to determine credit worthines .. With an installment purchase, an installment agreement is prepared in addition to the sales contract. George has arranged financing through a local bank for all in tallment sales. When an installment sale is made, the bank sends George a lump-sum payment equal to the price of the trailer. Instead of making payment to George, customers pay the bank plus interest. In either case, George receives a lump-sum payment for each trailer sold, whether that lump sum comes from the customer or from the bank. Once the credit is approved, the customer can take delivery 0 the trailer. This involves a delivery person who checks the trailer before delivering it to the custo er. The customer picks up the trailer or has it delivered by George. Q Required: I George's Trailer Sales has identified the following events of terest: Customer Looks at Trailers; Customer Orders Trailer; Deliver Trailer; and Receive Payment. Identify potential operating risks and appropriate controls associated with each event.