When Clipper Mail Order Co

question 65

Essay

When Clipper Mail Order Co.receives telephone and fax orders,the billing department prepares an invoice.The invoice is mailed immediately.A copy of the invoice serves as a shipping notice.The shipping department removes inventory from the warehouse and prepares the shipment.When the order is complete,the goods are shipped.The clerk checks the customer's credit before recording the sale in the general journal and the account receivable subsidiary ledger.
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The receptionist opens the mail and lists all payments.The receptionist also handles all customer complaints and prepares sales return forms for defective merchandise.The cashier records all cash receipts in the general journal and makes the appropriate entry in the accounts receivable subsidiary ledger.The cashier prepares the daily bank deposit.
Describe at least five internal control weaknesses at Clipper Mail Order Co.

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Definitions:

Fitting People

The process of ensuring that employees' skills, experiences, and personalities align well with their job roles and organizational culture.

Goal Setting

The process of identifying specific, measurable, achievable, relevant, and time-bound objectives that guide individuals or organizations.

Employee Motivation

The level of energy, commitment, and creativity that a company's workers bring to their jobs, influenced by both intrinsic and extrinsic factors.

Flextime

A flexible work schedule allowing employees to choose their working hours within agreed limits.