One of Your Friends Is Preparing to Open a Store

question 117

Essay

One of your friends is preparing to open a store that will sell clothing and fashionable accessories. When you heard that the business would have three or four employees, you told your friend that she would need to pay careful attention to separation of duties. She has asked you to explain what duties should be separated and why separation of duties is important in a business. Write a note to your friend explaining these issues.

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Definitions:

Caveat Emptor

Latin for "let the buyer beware," indicating that the buyer assumes the risk for the quality and condition of goods purchased unless protected by warranty.

Sale of Goods Act

Legislation governing the sale of goods, prescribing the rights and duties of buyers and sellers.

Competition Bureau

A governmental agency responsible for enforcing laws to ensure fair competition, preventing monopolies, and promoting consumer interests.

Law Enforcement

The activity of ensuring compliance with the laws of a jurisdiction, typically conducted by police and other agencies.