John Stockton owns and manages a barber shop at Macquarie Park, named Cute Cut. To avoid paying the service fees for using EFTPOS, Cute Cut accepts only cash payments from customers. As the shop is always busy, any of the staff can collect payments from customers, and put the collected cash into the cash register. As a measure to minimise stationery expense, customers are not given receipt, unless if they insist.

Also, all payments including for equipment such clippers, employee wages, etc. are made on cash, and the money for such payments is taken from the cash register. The balance from the cash register is only checked at the end each month to see how much cash increased during the month.

Required:

Review the internal control environment in Cute Cut by reference to any THREE principles of internal control.

Word limit: maximum 250 words.