Requirements 1. Draw a document flowchart for the Berridge Company using the symbols in Figure 12-7. 2. Could the company eliminate one or more copies of its RSR form? Use your flowchart to explain why or why not. 3. Do you think that the company creates too many copies of its purchase orders? Why or why not? 12-25. Classic Photography Inc. (Systems Flowcharts) Jenny Smith owns Classic Photography Inc, a company that restores photos for its clients and creates electronic images from the restored photos. The company also frames restored photos and creates sophisticated custom artworks. Artworks include materials such as glass and frames that are purchased from local suppliers. In addition to supplies for displays, the company purchases office supplies and packaging materials from several vendors. Classic Photography uses an off-the-shelf accounting software package to prepare internal documents and reports. As employees note a need for supplies and materials, they send an email to Jenny, who acts as the office managet and company accountant. Either Jenny or her assistant Donina enters order information into the accounting system and creates a purchase order that is faxed to the supplier Jenny or Donna may also eall the supplier if there is something special about the product ordered. product ordered. When ordered materials and supplies arrive, either Jenny or Donna checks the goods receised against a copy of the purchuse order and enters the new inventory into the computer system. Jeniny pays bills twice each month, on the first and the fifteenth. She checks the computer system for invoices outstanding and verifies that the goods have been received, She then enters any information and printed remittance advices (portions of the vendor bill to be returned) to suppliers: reorder point. Two copies of the document are prepared. One copy is forwarded to the purchasing department, and the other is filed. Purchase Order (Form PO). The purchasing department prepares this document based on the information found in the purchase requisition. Five copies of the purchase order are prepared. The disposition of these copies is as follows: copy 1 to vendor, copy 2 to accounts-payable department, copy 3 to inventory control department, copy i to warehouse, and copy 5 filed for reference. Receiving Report (Form RR). The warehouse department prepares this document when ordered items are received from vendors. A receiving clerk completes the document by indicating the vendor's name, the date the shipment is received, and the quantity of each item received. Four copies of the report are prepared. Copy 1 is sent to the accounts-payable department, copy 2 to the purchasing department, and copy 3 to the inventory control department. Copy 4 is retained by the warehouse department, compared with the purchase order form in its files, and filed together with this purchase order form for future reference. Invoices. Invoices received from vendors are bills for payment. The vendor prepares several copies of each invoice, but only two copies are of concern to the Berridge Company: the copy that is received by the company's accounts-payable department and the copy that is retained by the vendor for reference. The accounts-payable department compares the vendor invaice with its file copy of the original purchase order and its file copy of the warehouse receiving report. Based on this information, adjustments to the bill amount on the invoice are made (eg. for damaged goods, for trade discounts, or for cash discounts), a check is prepared, and the payment is mailed to the vendor. Requirements 1. Draw a document flowchart for the Berridge Company using the symbols in Figure 12-7. 2. Could the company eliminate one or more copies of its RSR form? Use your flowchart to explain why or why not. 3. Do you think that the company creates too many copies of its purchase orders? Why or why not? The Berridge Company is a discount tire dealer that operates 25 retail stores in a metropolitan area. The company maintains a centralized purchasing and warehousing facility and employs a perpetual inventory system. All purchases of tires and related supplies are placed through the company's central purchasing department to take advantage of the quantity discounts offered by its suppliers. The tires and supplies are received at the central warehouse and distributed to the retail stores as needed, The perpetual inventory system at the central facility maintains current inventory records, which include designated reorder points, optimum order quantities, and balance-on-hand information for each type of tire or related supply. The participants involved in Berridge's inventory system include (1) retail stores, (2) the inventory control department, (3) the warehouse, (4) the purchasing department, (5) accounts payable, and (6) outside vendors. The inventory control department is responsible for maintenance of the perpetual inventory records for each item carried in inventory. The warehouse department maintains the physical inventory of all irems carried by the company's retail stores. All deliveries of tires and related supplies from vendors are received by receiving clerks in the warehouse department, and all distributions to retail stores are filled by shipping clerks in this department. The purchasing department places every order for items needed by the company. The accounts-payable department maintains the subsidiary ledger with vendors and other creditors, All payments are processed by this department. The documents used by these various departments are as follows: Retail Store Requisition (Form RSR). The retail stores submit this document to the central warehouse whenever tires or supplies are needed. The shipping clerks in the warehouse department fill the orders from inventory and have them delivered to the stores. Three copies of the document are prepared, two of which are sent to the warehouse, and the third copy is filed for reference. Purchase Requisition (Form PR). An inventory control clerk in the inventory control department prepares this document when the quantity on hand for an item falts below the designated Requirements 1. Draw a document flowchart for the Berridge Company using the symbols in Figure 12-7. 2. Could the company eliminate one or more copies of its RSR form? Use your flowchart to explain why or why not. 3. Do you think that the company creates too many copies of its purchase orders? Why or why not? 12-25. Classic Photography Inc. (Systems Flowcharts) Jenny Smith owns Classic Photography Inc, a company that restores photos for its clients and creates electronic images from the restored photos. The company also frames restored photos and creates sophisticated custom artworks. Artworks include materials such as glass and frames that are purchased from local suppliers. In addition to supplies for displays, the company purchases office supplies and packaging materials from several vendors. Classic Photography uses an off-the-shelf accounting software package to prepare internal documents and reports. As employees note a need for supplies and materials, they send an email to Jenny, who acts as the office managet and company accountant. Either Jenny or her assistant Donina enters order information into the accounting system and creates a purchase order that is faxed to the supplier Jenny or Donna may also eall the supplier if there is something special about the product ordered. product ordered. When ordered materials and supplies arrive, either Jenny or Donna checks the goods receised against a copy of the purchuse order and enters the new inventory into the computer system. Jeniny pays bills twice each month, on the first and the fifteenth. She checks the computer system for invoices outstanding and verifies that the goods have been received, She then enters any information and printed remittance advices (portions of the vendor bill to be returned) to suppliers: reorder point. Two copies of the document are prepared. One copy is forwarded to the purchasing department, and the other is filed. Purchase Order (Form PO). The purchasing department prepares this document based on the information found in the purchase requisition. Five copies of the purchase order are prepared. The disposition of these copies is as follows: copy 1 to vendor, copy 2 to accounts-payable department, copy 3 to inventory control department, copy i to warehouse, and copy 5 filed for reference. Receiving Report (Form RR). The warehouse department prepares this document when ordered items are received from vendors. A receiving clerk completes the document by indicating the vendor's name, the date the shipment is received, and the quantity of each item received. Four copies of the report are prepared. Copy 1 is sent to the accounts-payable department, copy 2 to the purchasing department, and copy 3 to the inventory control department. Copy 4 is retained by the warehouse department, compared with the purchase order form in its files, and filed together with this purchase order form for future reference. Invoices. Invoices received from vendors are bills for payment. The vendor prepares several copies of each invoice, but only two copies are of concern to the Berridge Company: the copy that is received by the company's accounts-payable department and the copy that is retained by the vendor for reference. The accounts-payable department compares the vendor invaice with its file copy of the original purchase order and its file copy of the warehouse receiving report. Based on this information, adjustments to the bill amount on the invoice are made (eg. for damaged goods, for trade discounts, or for cash discounts), a check is prepared, and the payment is mailed to the vendor. Requirements 1. Draw a document flowchart for the Berridge Company using the symbols in Figure 12-7. 2. Could the company eliminate one or more copies of its RSR form? Use your flowchart to explain why or why not. 3. Do you think that the company creates too many copies of its purchase orders? Why or why not? The Berridge Company is a discount tire dealer that operates 25 retail stores in a metropolitan area. The company maintains a centralized purchasing and warehousing facility and employs a perpetual inventory system. All purchases of tires and related supplies are placed through the company's central purchasing department to take advantage of the quantity discounts offered by its suppliers. The tires and supplies are received at the central warehouse and distributed to the retail stores as needed, The perpetual inventory system at the central facility maintains current inventory records, which include designated reorder points, optimum order quantities, and balance-on-hand information for each type of tire or related supply. The participants involved in Berridge's inventory system include (1) retail stores, (2) the inventory control department, (3) the warehouse, (4) the purchasing department, (5) accounts payable, and (6) outside vendors. The inventory control department is responsible for maintenance of the perpetual inventory records for each item carried in inventory. The warehouse department maintains the physical inventory of all irems carried by the company's retail stores. All deliveries of tires and related supplies from vendors are received by receiving clerks in the warehouse department, and all distributions to retail stores are filled by shipping clerks in this department. The purchasing department places every order for items needed by the company. The accounts-payable department maintains the subsidiary ledger with vendors and other creditors, All payments are processed by this department. The documents used by these various departments are as follows: Retail Store Requisition (Form RSR). The retail stores submit this document to the central warehouse whenever tires or supplies are needed. The shipping clerks in the warehouse department fill the orders from inventory and have them delivered to the stores. Three copies of the document are prepared, two of which are sent to the warehouse, and the third copy is filed for reference. Purchase Requisition (Form PR). An inventory control clerk in the inventory control department prepares this document when the quantity on hand for an item falts below the designated