Are there any control weaknesses in this process?

Cash Receipts from Customers

All mail is centrally received in the mailroom, opened, and distributed. Checks from customers are forwarded to CBIS, where the customer number, invoice numbers paid, discount taken, and net amount remitted are entered into the system based on the remittance advice information. The computer then updates the customer accounts, as well as the accounts receivable control and cash in bank accounts. At the end of the day, the computer produces a printout of detail and totals by customer, as well as a grand total.

The checks and remittance advices are then separated and the checks are forwarded to Mark Wilkins, cashier. Wilkins prepares the deposit and deposits each day's remittances intact. Receipted deposit tickets are forwarded by the bank to the controller's office where a comparison is made with the daily printout of cash receipts.

Miscellaneous cash receipts are processed in a fashion similar to that accorded customer remittances, except that a recording form is prepared by the general ledger section and forwarded daily to CBIS for entry into the computer. Prepared from the remittance advice, the recording form contains the date, amount remitted, account number(s), and amount(s) to be credited. Exhibit BB.8 is a flowchart describing processing of customer cash receipts.