You are a member of the recently formed internal audit of Flashboard Co. The company manufactures electrical materials which are supplied to large and small retailers. The management of those charged with governance of Flashboard Co have concerns about the effectiveness of their sales and despatch system and have asked internal audit to document and review the system. Sales and despatch system Sales order are mainly placed through Flashboard's website but some are made via telephone. Online orders are automatically checked against inventory records for availability; telephone orders, however, are checked manually by order clerks after the call. A follow-up call is usually made to customers if there is insufficient inventory. When taking the telephone orders, clerks note down the details on plain paper and afterwards they can complete a three part pre-printed order form. These forms are not sequentially numbered and are sent manually to both the despatch and the accounts departments. As the company is expanding, customers are able to place online orders which will exceed their agreed credit limits of 10%. Online orders are automatically forwarded to the despatch and accounts department. A daily pick list is printed by the despatch department and this is used by the warehouse team to despatch goods. The goods are accompanied by a despatch note and all customers are required to sign a copy of On return, the signed despatch notes are given to the warehouse team to file. The sales quantities are entered from the despatch notes and the authorised sales prices are generated by the invoicing system. If a discount has been given, this has to be manually entered by the sales clerk into the invoice. Due to the expansion of the company, and as a large number of sales invoices, extra account staff have been asked to help out temporary with producing the sales invoices. Normally it is only two sales clerks who produce the sales invoices. Required (0) Describe TWO methods of documenting the sales and despatch system, and for each explain an advantage and disadvantage of using this method. (5 marks) List FIVE control objectives of Flashboard Co sales and despatch system. (5 marks) Identify and explain SIX deficiencies in Flashboard Co's sales and despatch system and provide a recommendation to address each of these deficiencies. (15 marks) Total (25 marks)