Controls for Order Entry, Part 1 (#1)

In this episode, we cover the full range of controls associated with a manually-operated order entry function, dealing with controls for both verbal and written customer orders. The main control areas noted in the episode are:

  • Verifying that the customer actually placed an order

  • Verifying that the pricing, sales tax, and freight rate are correct

  • Reviewing the customer credit limit

  • Verifying that the ordered items are in stock or will be available shortly

  • Identifying the uses of all five copies of the sales order

  • Restricting access to blank sales orders

  • Tracking the consecutive numbering of sales orders

  • Investigating product returns

  • Tracking unshipped residual units

Related Courses

Accounting Controls Guidebook
Accounting Information Systems