Suppose you have a part-time sales position over the winter break in a small clothing store that

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Suppose you have a part-time sales position over the winter break in a small clothing store that is part of a national chain. The stores one full-time employee, with whom you have become friendly, hired you. Explain what you would do ion the situations described below, and identify two internal control problems that exist in each situation.

1. You arrive at the store at 6 P.M. to take over the evening shift from the full-time employee who hired you. You notice that this person takes a coat from a rack, puts it on, and leaves by the back door. You are not sure if the coat is one that was for sale or if it belonged to the employee.

2. You are the only person in the store on a busy evening. At closing time, you total the cash register and the receipts and discover that the cash register is $20 short of cash. You consider replacing the $20 out of your pocket because you think you may have made a mistake and are afraid you might lose you job if the company thinks you took the money.

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Principles Of Financial Accounting

ISBN: 9780538755160

11th Edition

Authors: Belverd E Needles, Marian Powers

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