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Questions -
1) Mel Lane works at the drive-through window of Bison Burgers. Occasionally, when a drive-through customer orders, Mel fills the order and pockets the customer's money. He does not ring up the order on the cash register. Identify the internal control weaknesses that exist at Bison Burgers, and discuss what can be done to prevent this theft.
2) Lasting Impressions Co. records all cash receipts on the basis of 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 April:
Cash in bank according to the general ledger 9900 Cash according to the April 30, 2012, bank statement 20700 Outstanding checks as of April 30, 2012 7200 Bank service charge for April 100 Note receivable, including interest collected by bank in April 10900.
No deposits were in transit on April 30. Determine the amount of cash receipts stolen by the sales clerk.
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