Tandem: SAÑO, Lynjay

KING, Alexis O.

Course & Year: BSA 3C

Chosen Business: COFFEE SHOP AND STARBUCKS

1. Discuss the flow of Revenue (Sales) activities using the manual procedure for
business in column 1 and the Automated/computerized business for column

 Coffee shop ( Manual Procedure)

 Begins with a customer placing an order and the sales department
gets the details on a sales order form.
 The sales information is released to :
Billing
 The coffee and billings are prepared and sent to the customer
 The billing compiles and reconciles the relevant facts and issues an
invoice to the customer and updates the sales journal.
 The information is transferred to accounts receivable
 Billing and Accounts receivable submits summary information to the
General Ledger department and then reconciles this date and posts to
the control accounts in General Ledger.

 Starbucks (Computerized Business)

 Begins with a customer placing an order. The sales clerk records the
essential details and prepares multiple copies of sales order.
 Using real-time technology, after the entry of customer order it opens
a sales order file.
 Using the batch, involves the:
 printout of invoice
 accounts receivable
 general ledger control account

2. Explain the physical and IT controls applicable to both businesses that can be

adopted to mitigate the risks associated with the revenue cycle.

 Secure server room

Secure or tightly guard the rooms in which the servers and backups are
stored. Guard the physical hardware, restricting entry into the server
rooms to a few individuals. It is just as you’d control digital access to
sensitive data.
 Device management
There are a lot of businesses suffering a data breach or a leak. Device
and endpoint management should be the baseline for cyber security.
 Daily sales summary
This provides information about the sales collected on the day. Daily sales
summary is important to properly account the sales and receivables.
 Secure the data and summary information
The authorized personnel must keep all the information secured. The
sensitive data must be limited only to the control of a few workers.
 Properly manage the use of technologies
It is essential to protect assets, customers, partners, and sensitive
information; demonstrate safe, efficient, and ethical behaviour and
preserve brand, reputation, and trust.