Revenue Cycle Case (Chapter 5) You are a CPA and a consultant employed by a major international CPA firm. Your office has been hired to audit the financial statements of a new client. The audit partner has approached you to comment on the new client's internal controls for the revenue cycle. Attached is the systems flowchart for the revenue cycle. Required: In a memo directed to the audit partner, describe the control weaknesses shown in the flowchart and discuss the risks associated with those weaknesses. This assignment is worth 25 points. Your response should be professionally written with little reliance on point form. Format: +1-2 pages (double spaced) typed memo To: Audit Partner From: ICPA Date: Oct. 11,2021 Subject: Review Internal Controls for X12 Co. Introduction: -Purpose of the memo Discussion Analysis -Use expertise to review asset the internal control weaknesses I risks associated with the sales cycle flowchart offer recommendations where possible Conclusion: - Conclusion summarizes riskslweaknesses to offers recommendation Tone of the memo Audience of the memo Sales Department Accounting Department Warehous Customer Sales Order Stock Release Packing Slip Stock Release Packing Slip Customer Order AR Sub Ledger Pick Goods Update Inventory send goods Shipping Bill Customer Update Accounts Approves credit, prepare Sales documents AR Control Stock Release Sales Order Stock Release Packing Slip Sales Invoice Sales Order Stock Release Packing Slip Billing Department Sales Invoice Add prices and taxes, BIH Customer and record Sale Sales Journal Sales Invoice Customer Customer Warehouse Shipping Department Packing Slip Sales Order Stock Release Packing Slip R Sub edger Pick Goods, Update Inventory send goods to Shipping Reconcile Packing slip and Sales order, send goods to Carrier Record in Shipping log Inventory Sub ledger Shipping Log AR Control Sales Order Stock Release Packing Slip Carrier Sales ournal Sales nvoice Customer Revenue Cycle Case (Chapter 5) You are a CPA and a consultant employed by a major international CPA firm. Your office has been hired to audit the financial statements of a new client. The audit partner has approached you to comment on the new client's internal controls for the revenue cycle. Attached is the systems flowchart for the revenue cycle. Required: In a memo directed to the audit partner, describe the control weaknesses shown in the flowchart and discuss the risks associated with those weaknesses. This assignment is worth 25 points. Your response should be professionally written with little reliance on point form. Format: +1-2 pages (double spaced) typed memo To: Audit Partner From: ICPA Date: Oct. 11,2021 Subject: Review Internal Controls for X12 Co. Introduction: -Purpose of the memo Discussion Analysis -Use expertise to review asset the internal control weaknesses I risks associated with the sales cycle flowchart offer recommendations where possible Conclusion: - Conclusion summarizes riskslweaknesses to offers recommendation Tone of the memo Audience of the memo Sales Department Accounting Department Warehous Customer Sales Order Stock Release Packing Slip Stock Release Packing Slip Customer Order AR Sub Ledger Pick Goods Update Inventory send goods Shipping Bill Customer Update Accounts Approves credit, prepare Sales documents AR Control Stock Release Sales Order Stock Release Packing Slip Sales Invoice Sales Order Stock Release Packing Slip Billing Department Sales Invoice Add prices and taxes, BIH Customer and record Sale Sales Journal Sales Invoice Customer Customer Warehouse Shipping Department Packing Slip Sales Order Stock Release Packing Slip R Sub edger Pick Goods, Update Inventory send goods to Shipping Reconcile Packing slip and Sales order, send goods to Carrier Record in Shipping log Inventory Sub ledger Shipping Log AR Control Sales Order Stock Release Packing Slip Carrier Sales ournal Sales nvoice Customer