Finance and Accounting Essay Example | Topics and Well Written Essays - 750 words

Finance and Accounting - Essay ExampleJoan expects separately changeier to match the drawer to the penny every time no exceptions.I disagree. Joan should employ another employee to day by day reconcile the amount in the specie register and cash in the drawer. Since, in our case, Joan expects cash to balance with no exceptions, the employee verifying the amount might overcharge some customers in case of every shortage.b. Joan caught an employee putt a case of 400 single-serving tea bags in her car. Not wanting to create a scene, Joan smiled and said, I dont think youre putting those tea bags on the right shelf. Dont they belong inside the coffee shop? The employee returned the tea bags to the stockroom.I disagree. The employee is stealing from the stockroom which is an offense and Joan should nurse fired the employee or otherwise penalize the employee. Joan should install an inventory control that ensures stock is taken daily, and any shortage is would be easily detected.c. J ittery Coffee Shop has one cash register. Prior to Joans joining the coffee shop, each employee working on a shift would take a customer order, accept payment, and then prepare the order. Joan made one employee on each shift responsible for fetching orders and accepting the customers payment. Other employees prepare the orders.I agree. Joan segregated duties among the employees. Segregation of duties is a unbendable internal control used by many companies. In our case, the employee taking orders is different from the one preparing the alike(p) orders. This ensures none or minimal cases of theft.Lasting Impressions Co. records all cash receipts based on its cash register tapes. Lasting Impressions Co. discovered during April 2012 that one of its sales clerks had stolen an undetermined amount of cash receipts when she took the daily deposits to the bank. The following data have been gathered for AprilTheft should have been prevented by ensuring separation of duties. The Employee re cording the cash receipt should be different from the person taking deposits to the bank. The company can also contract an free party to be carrying out the reconciliation, as this will ensure easier detection of cash stolen. After a period of one month, the employees duties can be rotated. The company should be ensuring bank reconciliation is make frequently.