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Explain the internal controls george needs to have in place for the receipt of both cash and credit cards for the restaurant.

by | Nov 10, 2022 | Business Studies | 0 comments

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George Jetson owns and operates a restaurant and catering business which has seen the business show an increase in revenue over the last 6 months. With an increase in revenues George realized the expenses would also increase but expected to see an increase in the cash position of the business. In reviewing the cash position and bank account, he has realized there has been a decrease in the cash position. The business receives cash and credit cards at the restaurant and also extends credit to customers for the catering business
1. Explain the internal controls George needs to have in place for the receipt of both cash and credit cards for the restaurant.
2. Explain the issues involved with extending credit to customers in regard to both trade receivables and notes receivables
3.Select and defend one of the methods to handle the write off of bad debt.

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