A partially completed flowchart appears in Figure 3-13. The flowchart depicts the credit sales activities of the Bottom Manufacturing Corporation.

A customer’s purchase order is received, and a six-part sales order is prepared therefrom. The six copies are initially distributed as follows:

Copy 1—Billing copy, to billing department Copy 2—Shipping copy, to shipping department Copy 3—Credit copy, to credit department Copy 4—Stock request copy, to credit department Copy 5—Customer copy, to customer Copy 6—Sales order copy, file in sales order department When each copy of the sales order reaches the appropriate department or destination, it calls for specific internal control procedures and related documents. Some procedures and related documents are indicated on the flowchart; others are labeled by the letters a to r.

Required

a. List the procedures or the internal documents that are labeled letters c to r in the flowchart of Bottom Manufacturing Corporation’s charge sales system.

Organize your answer as follows (Note that the explanations of the letters a and b in the flowchart are entered as examples):

b. Using the guidelines for preparing flowcharts in Focus 3-2 and the flowcharting symbols shown in Figure 3-8, critique the flowchart shown in Figure 3-13. List the ways the flowchart violates the guidelines or uses improper symbols.

Transcribed Image Text:

Clerk Mail Mail clerk Opan mail Checks Remittance advice Prepare remittance advice if needed Sales clerks Write SALES DEPARTMENT Cashier Supervisor Supervisor invoice for customer in soles book order Sales invoice Sales invoice From customer To customer Inventory control clerk Sales invoice Fle Post Cash Figure 3-12 Charting, Inc. Flowchart for Sales and Cash Receipts ACCOUNTING DEPARTMENT Accounts Receivable Clerk Checks Remittance advice Checks Remittance advice Accounts receivable ledger Post Sales journal Checks Remittance advice Pe check lol Endorse checks Tetel cash and checks and propore de- pos sip Daly Post sales File Summary D. Post To bonk, From Soles Invoice Fle Validated deposit slip Cash bank From Monthly bonk statement bank