Derek Huhta Micah McKee Natalia Meza Shaun Ripplinger
Founded 1987 For profit company Property Law and Real Estate Legal Services Cowlitz County, Washington Employs five people
Start: Client requests services Stop: Client’s payment on account Internal Entities: Owner, Bookkeeper, Receptionist, Computer External Entities: Client and the Bank Hardware: Apple computer Software: Time Slips and Quicken
Ensure: Effective and efficient operations Reliable financial reporting Compliance with applicable laws and regulations
Ensure services are accurate and complete, Maintain accurate transfer of client services worksheet, Update billing and payment information, and Make sure customer’s are billed in a systematic fashion.
Employee Trust Files available to all employees Nightly backups Cross trained staff Flexible
One-to-One Check (memo of conversation and client billing worksheet) Review Tickler File (Accounts Receivable Master File) Written Approvals Customer Confirmations Also many of the most beneficial data entry control plans are present as well (document design, enter data close to source, preformatted screens, populate and compare, confirm input acceptance, rejection procedures, etc.).
Independent Billing Authorization Independent Customer Master Data Maintenance
Immediately Endorse Incoming Checks One-to-One Check (Deposit book and Checks) Monitor Open Accounts Receivable Regularly (Tickler File) Edit Cash Receipts for Accuracy
Immediately Separate Checks and Remittance Advices
Owner Involvement Flexible Work Structure Employee Communication and Trustworthiness Low Turnover Levels Majority of necessary business process controls present
Segregation of Duties Second Set of Eyes
Four functions: Authorizing Executing Recording Safeguarding of resources Owner involvement in daily activities Separate critical activities *Helps prevent fraud, errors, system failures
Information may be corrected Reduction of mistakes Help prevent fraud Help ensure information is valid and accurate Document support