REVENUE CASE 2 Medisihat Pharmaceutical Company (MPC), a drug manufacturer, has the following internal controls for billing and recording accounts receivable: 1. An incoming customer's purchase order is received in the order department by clerk who prepares a prenumbered company sales order form on which is inserted the pertinent information, such as the customer's name and address, customer's account number, quantity, and items ordered. After the sales form has been prepared, the customer's purchase order is attached to it. 2. The sales order form is then passed to the credit department for credit approval. Rough approximations of the billing values of the orders are made in the credit department for those accounts on which credit limitations are imposed. After investigations, approval of credit of credit is noted on the form. 3. Next, the sales order form is passed to the billing department, where a clerk uses a computer to generate the customer's invoice. It automatically multiples the number of items times the unit price and adds the extended amounts for the total amount of the invoice. The billing clerk determines the unit prices for the items from a list of billing prices The invoice copies are designated as follows: (a) Customer's copy 3 (b) Sales department copy, for information purposes. (c) File copy (d) Shipping department copy, which serves as a shipping order. Bills of lading are also prepared as carbon copy by-products of the invoicing procedures. 4. The shipping department copy of the invoice and the bills of lading are then sent to the shipping department. After the order has been shipped, copies of the bill of lading are returned to the billing department. The shipping department copy of the invoices is filled in the shipping department 5. In the billing department, one copy of the bill of lading is attached to the customer's copy of the invoice and both are mailed to the customer. The other copy of the bill of lading, together with the sales order form, is then attached to the invoice file copy and filed in invoice numerial order. 6. As the computer generates invoices, it also stores the transcations in an electronic file that is used to update the accounting records daily. A summary report is generated and all journal and ledgers are printed for a hardcopy of the records. 7. Periodically, an internal auditor traces sample of sales orders all the way through the system to the journals and ledgers, testing both the procedures and dollar amounts. The procedures include comparing control totals with output, recalculating invoices and refooting journals, and tracing totals the master file and general ledger Required: a) Describe the main functions and their related documents in revenue cycle in the form of flowchart