(L.OBJ. 1, 2) Explaining common types of receivables and designing internal controls for...

(L.OBJ. 1, 2) Explaining common types of receivables and designing internal controls for receivables [20—30 min]

The Computer Geeks perform technical consulting services on account, so virtually all cash receipts arrive by mail and are then mailed immediately to the bank. Average daily cash receipts are $28,000. Corrin Strumble, the owner, has just returned from a meeting with new ideas for the business. Among other things, Strumble plans to institute stronger internal controls over cash receipts from customers.

Requirements

1. Whit types of receivables are most likely to be collected by The computer Geeks?

2. List the procedures described below in the correct order.