Jodi Rostad works at the drive-through window of Mamma's Burgers. Occasionally, when a drive-through customer orders, Jodi fills the order and pockets the customer's money. She does not ring up the order on the cash register.
The most effective internal control to implement in this situation would be:
If Mamma's Burgers cannot hire more people to prevent this theft, the most effective internal control to implement would be:
1. to fingerprint Jodi Rostad.
2. to implement and advertise a policy that any customer who does not receive a receipt is entitled to a free burger.
3. to remove the computer screen showing the order for drive-thru customers to view.
4. to have the drive-through clerk who takes customer orders be the same person who accepts payments.
Correct answer : to implement and advertise a policy that any customer who does not receive a receipt is entitled to a free burger.
Expert Explanation
To implement and advertise a policy that any customer who does not receive a receipt is entitled to a free burger.
This policy would deter theft by making it more likely that customers will insist on getting a receipt, thereby ensuring that all transactions are properly recorded in the cash register. If customers know they are entitled to a free item if they don't receive a receipt, they will be more vigilant, and this added layer of oversight by the customers themselves can significantly reduce the opportunity for employees to pocket money without recording the transaction.
Here's why the other options are less effective:
Fingerprinting Jodi Rostad: This measure does not address the immediate issue of cash theft and would not prevent her from pocketing money.
Removing the computer screen showing the order for drive-thru customers to view: This would not prevent theft and might even lead to more confusion and customer dissatisfaction, as customers would not be able to verify their orders.
Having the drive-through clerk who takes customer orders be the same person who accepts payments: This does not change the current situation and would not address the problem of theft. In fact, it may even exacerbate it by consolidating the opportunities for theft.
Therefore, implementing and advertising a policy that any customer who does not receive a receipt is entitled to a free burger is the most practical and effective internal control measure in this scenario.
This policy would deter theft by making it more likely that customers will insist on getting a receipt, thereby ensuring that all transactions are properly recorded in the cash register. If customers know they are entitled to a free item if they don't receive a receipt, they will be more vigilant, and this added layer of oversight by the customers themselves can significantly reduce the opportunity for employees to pocket money without recording the transaction.
Here's why the other options are less effective:
Fingerprinting Jodi Rostad: This measure does not address the immediate issue of cash theft and would not prevent her from pocketing money.
Removing the computer screen showing the order for drive-thru customers to view: This would not prevent theft and might even lead to more confusion and customer dissatisfaction, as customers would not be able to verify their orders.
Having the drive-through clerk who takes customer orders be the same person who accepts payments: This does not change the current situation and would not address the problem of theft. In fact, it may even exacerbate it by consolidating the opportunities for theft.
Therefore, implementing and advertising a policy that any customer who does not receive a receipt is entitled to a free burger is the most practical and effective internal control measure in this scenario.