Exam 11: The Billingaccounts Receivablecash Receipts Barcr Process

Below is the narrative for the "Receive payment" portion (i.e., bubble 3.0) of the B/AR/CR process. Narrative Description The payment and remittance advice data triggers the receive payment process. Upon receipt of the payment and RA from the bank, process 3.1 first validates the remittance by comparing the payment to the RA. Mismatches are rejected for later processing. If the payment and RA agree, the validated remittance is sent to process 3.2, which uses the RA to update the accounts receivable master data to reflect the customer's payment and records the collection in the cash receipts events data, and notifies the general ledger process of the amount of the cash deposited. This is an immediate update of the GL for a single cash receipt. Required: From the DFD in TB Figure 11.7 and the narrative description above, explode bubble 3.0 into a lower-level diagram showing the details of that process.

For the cash receipts process, the control plan turnaround documents helps to achieve which of the following pairs of control goals?

Organizations should reconcile their ______________________________ on a regular basis to ensure that valid deposits are recorded correctly.

The control plan ______________________________ establishes for the billing personnel that the shipment is supported by an actual sales order.

To help prevent incoming cash receipts from being fraudulently misappropriated, an organization should ______________________________.

In a(n) ______________________________ accounts receivable system, the customer statement displays invoices (new or settled in the current period), along with payment details.

In a B/AR/CR process, which of the following data stores is least likely to interact with a process called "perform billing"?

In a balance-forward accounts receivable system, customer statements display previous balance, payments, and balance forward to which are added any new charges to derive the total balance due.

A remittance advice generally would be recorded in which of the following pairs of data stores?

The B/AR/CR process completes the order to cash process by accomplishing the activities of billing customers, managing customer accounts, and securing payment for goods and services rendered.

The cash receipts process can be accelerated by using the ACH network because it is:

Which control is most effective in contributing to the goal of ensure input accuracy in the billing function?

The ______________________________ data store contains invoice records.

A purchasing statement is a business document designed to inform the payee of the invoices or other items being paid.