Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The bookkeeper who has worked for a small hotel for more than 3 0 years is retiring. Because he was such a reliable employee, he
The bookkeeper who has worked for a small hotel for more than years is retiring. Because he was such a reliable employee, he was given more and more responsibility over the years and did virtually all of the work, such as keeping all the accounting records, approving invoices for pay ment, preparing checks, and, in the absence of the hotels owner, signing checks that needed to be sent to suppliers. His daily duties included col lecting the cash at the end of the day from the front office and restaurant, clearing the machine tapes, counting and verifying cash against tapes, de positing the cash in the bank, and making the necessary entries in the ho tels bookkeeping records. At monthend he would do the bank reconcil iation. The hotels owner realizes that she cannot hire and train someone to take over all the responsibilities of the retiring bookkeeper and that it would not be desirable for internal control purposes to do so She knows that she will have to assume some of the retiring employees duties. She is busy already, since, as well as generally managing the hotel she does all the ordering of food supplies for the restaurant and all the ordering and receiving of bar supplies.
From an internal control point of view, discuss which of the retiring bookkeepers responsibilities the owner should take over while, at the same time, minimizing the amount of time this would require.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started