(Solution) - Lance Products Inc makes all sales on account Selena Camp -(2025 Original AI-Free Solution)

Paper Details

Lance Products, Inc., makes all sales on account. Selena Camp, accountant for the company, receives and opens incoming mail. Company procedure requires Camp to separate customer checks from the remittance slips, which list the amounts that Camp posts as credits to customer accounts receivable.
Camp deposits the checks in the bank. At the end of each day, she computes the day?s total amount posted to customer accounts and matches this total to the bank deposit slip. This procedure ensures that all receipts are deposited in the bank.

Requirement
As a consultant hired by Lance Products, Inc., write a memo to management evaluating the company?s internal controls over cash receipts from customers. If the system is effective, identify its strong features. If the system has flaws, propose a way to strengthen the controls.