Reference no: EM132214713

The objective is to design a document flow chart for a local movie theater with only one movie screen. You are to assume that you are responsible to design the controls and document flow. The flowchart should visually show flow of major documents and processing points for the movie theatre.

Facts:

Cash or credit cards are received at the ticket counter and tickets are given to the customer. The customer gives the ticket to the admitting clerk at the door of theater. Moviegoers buy popcorn, candy, etc at the concession counter and pay cash only. There is a manager who signs off on ALL cash deposits placed into the one safe used for both ticket counter and concession stand sales.

Your job is to design a document flowchart that accounts for:

1) Cash or credit cards being received at ticket counter

2) Ticket Counter ticket summary by type of tickets reconciled to turn-style ticket counts daily.

3) Accounting for concession revenue cash

4) Depositing money in the bank-assume Brinks picks up cash each morning.

5) Recording the movie proceeds on the books of record.

NOTE: You should have at least three or four different departments:

1) Ticket Counter…..See TICKET COUNTER duties below

2) Concession counter…..See CONCESSION COUNTER duties below

3) Accounting Department……See ACCOUNTING DEPARTMENT duties below

In designing the document flow chart some of the documents/procedures that need to be accounted for are:

1) Reconciling cash/credit card revenue received at ticket counter with ticket counter computer summary.

2) Reconciling tickets counted by turn-style with tickets given out at ticket counter.

3) Reconciling cash received at concession stand with cash register/ computer tapes.

4) Banking money each night by dropping money in safe so Brinks can pick up cash the following morning. What procedures would you develop?

5) Recording deposits and credit card revenue on the books…what source documents are needed as support?

ASSUME CASH REGISTER AT TICKET COUNTER RECORDS THE NUMBER OF TICKETS ISSUED AND ALSO RECORDS THE NUMBER OF TICKETS SOLD AT SPECIAL PRICES INCLUDING DISCOUNTS AND GIFT COUPONS:

1) Full Price tickets

2) Senior Discount Pricing

3) Special Group Discount Prices

4) Gift Coupons or other coupons (non-cash)

PROCEDURES THAT MUST BE DOCUMENTED.

TICKET COUNTER

1) Computer register prints pre-numbered tickets for the day's movies and summarize all the day's sales and ticket exchange for coupons, gift certificates, etc. The register/computer summarizes each type of sale (e.g. discount tickets, etc).

2) At end of shift ticket clerk counts cash and prepares a deposit slip that reconciles to computer totals.The manger independently counts the cash and both initial and place in transparent bank bad with the deposit slip face up. Both witness cash going into the safe.

3) Computer summary reconciling receipts and credit card transaction totals and copy of deposit slip given to accounting department daily. Summary copy also kept and filed by manager.

TICKET TAKER-TURNSTYLE CUSTOMER ACCESS POINT

1) Clerk takes tickets from customers and customer goes through turn-style gate which automatically counts customers entering turn-style gates.

CONCESSION STAND

1) Cash only taken in for concession purchases

2) At end of shift concession clerk reconciles cash with cash register tape of receipts.

3) Concession clerk prepares deposit slip, The manger independently counts the cash and both initial and place in transparent bank bad with the deposit slip face up. Both witness cash going into the safe.

4) Computer summary reconciling concession receipts and copy of deposit slip given to accounting department daily. Copy of same kept by manager.

ACCOUNTING OFFICE

1) Reconciles turn-style ticket counts with computer ticket counter summaries totaling the number of same day of tickets broken down by cash, cc, gift certificates, etc. Documents kept on file.

2) Records cash and credit card receipts on the accounting books of record. Computer summaries from both the ticket counter and concession stand filed.

3) Reconciles bank daily to insure Brink’s pickup and bank deposit is credited by The bank on a timely basis.