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Savvydude is men clothing wholesaler in northeast ohio

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Reference no: EM131715131

SavvyDude is a men’s clothing wholesaler in Northeast Ohio. SavvyDude sells men’s clothing and accessories to retail stores around Northeast Ohio. Based upon a discussion with the owner at SavvyDude, you have prepared the following summary of the Revenue Cycle. Use this narrative to prepare a document flowchart to depict the Revenue Cycle for SavvyDude.

When a Customer Order is received from one of SavvyDude’s many retailers, the Sales Department uses the Customer Order to check inventory availability by looking up the items in the inventory database. If the inventory to fill the order is not available, the Sales Department prepares a Back-order document (2 copies). One copy is sent to Purchasing and the other copy is filed alphabetically with the Customer Order in the Sales Department. If the inventory for the order is available, the Sales Department prepares a Sales Order with 2 copies (3 copies total). One copy of the Sales Order is sent to the customer. One copy is filed alphabetically in the Sales Department with the Customer Order and one copy of the Sales Order is sent to the Warehouse.

In the Warehouse, the Sales Order serves as a picking ticket to release the stock. A warehouse employee picks and packs the goods to complete the order which is then forwarded on to the Shipping Department with the Picking Ticket (Sales Order).

In the Shipping Department the order is checked against the Picking Ticket (Sales Order) and a Packing Slip is created (2 copies total). One copy of the Packing Slip is included with the order and shipped to the Customer. The Shipping Department then prepares a Shipping Confirmation (2 copies) which is forwarded to the Billing Department and files one copy of the Shipping Confirmation in the Warehouse by date along with the Picking Ticket (Sales Order) and a copy of the Packing Slip.

When the Billing Department receives the Shipping Confirmation, Inventory and Accounts Receivable files are updated and an Invoice is generated (2 copies). One copy of the Invoice is sent to the customer, while the other copy of the Invoice is filed in the Billing Department by customer name with the Shipping Confirmation. Additionally, a Daily Sales Report is generated and forwarded to the Controller. Finally, an Accounts Receivable Aging Report is generated and forwarded to the Credit Manager.

Prepare a flowchart based on the following information.

Reference no: EM131715131

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