It$$s been a crazy ride for Ronald and Rhy$$s Fries. He and Peter travelled around the carnival circuit all summer and into early fall stopping at every fair, exhibition, convention, carnival and rodeo they could make it to$.$ Some locations were better than others, and there were some minor issues including a few truck breakdowns, inventory spoilage and some wrong turns that they had to contend with, but overall it was a successful season. Ronald was also surprised to discover how popular his new product was; poutine.

It was so popular that Ronald has decided to pursue this as the next avenue in this business; a fry and poutine restaurant. There is a perfect, high traffic location that is available to buy but a restaurant is completely different than a food truck and he$$s a little unsure about what it$$s going to take to make it work. The location was previously a clothing retail store, and as such it$$s going to require some extensive renovations to turn it into a functioning restaurant. On top of that, it will need kitchen equipment $($deep fryers, stoves, cooking utensils, etc.$)$ as well as tables, chairs and other restaurant amenities before it would be able to open.

Alternatively there is a less desirable location that is available to lease. The location is in an older area of the city and was previously a restaurant. It has old, but still functioning equipment $($deep fryer, stove, cooler, ovens etc.$)$ though it$$s unclear how long the equipment will last. The lessor has also indicated that any of the restaurant amenities $($tables$,$ chairs, utensils, etc.$)$ that are on the property can be purchased at a deeply discounted rate. The restaurant itself is in good shape and aside from a thorough cleaning won$$t require a lot of work to get it open.

Ronald once again seeks out the advice of Uncle Bob to get some clarity on the potential risks and advantages of each option $($Lease vs Buy$).$ He also wants to get some more information about something he recalls Bob talking about at a previous meeting; Internal Controls.

$6$a$.)$ As Bob, what would you tell Ronald regarding the two options $($Lease or Buy$)?$

$6$b$.)$ What are some of the important internal controls that Ronald will have to consider and implement in this situation regardless of which option is chosen?