Reference no: EM132084892

Walt’s Water revenue cycle begins when a customer sends a purchase order to the sales department. A sales department employee prepares a six part sales order that includes the following documents: three copies of sales orders, a stock release, a shipping notice, and a packing slip. The billing department receives a copy of the sales order, the warehouse receives the stock release and a copy of the sales order, and the shipping department receives a shipping notice and packing slip. The sales clerk files a copy of the sales order in the open customer order file. Upon receipt of the sales order, the billing department creates an invoice and sends it to the customer. The billing clerk records the sale in the sales journal and in the accounts receivable subsidiary ledger. The warehouse receives a copy of the sales order and stock release. A warehouse employee picks the product and sends it to the shipping department along with the stock release. The sales order is filed in the warehouse. A warehouse clerk updates the inventory records. The shipping department receives the shipping notice and packing slip from the sales department. Upon receipt of goods and stock release, the shipping clerk prepares the bill of lading. The two copies of the bill of lading and the packing slip are sent with the product to the carrier. The shipping notice is filed. The billing department receives and reconciles the stock release with the invoice to determine if the customer was billed for the correct quantity and price. Required 1. Create a document flowchart to document the sales process at Walt’s Water. 2. Identify internal control weaknesses in the sales process at Walt’s Water.