Andrea Portowski has worked for Dr.Lee Hum for several years. Andrea demonstrates a loyalty that is rare among employees. She hasn't taken a vacation in the last four years. One of Andrea's primary duties at the medical office is to open the mail and list the cheques received. She also takes cash from patients at the cashier window as patients leave. At times it is so hectic that Andrea doesn't bother with giving each patient a receipt for the cash paid on their accounts. She assures them she will see to it that they receive the proper credit. when the traffic is slow in the office, Andrea offers to help the bookkeeper post the payments to the patients' accounts receivable. she is always happy to receive Andrea's help, because she is a very conscientious worker.

Question

Andrea Portowski has worked for Dr.Lee Hum for several years. Andrea demonstrates a loyalty that is rare among employees. She hasn't taken a vacation in the last four years. One of Andrea's primary duties at the medical office is to open the mail and list the cheques received. She also takes cash from patients at the cashier window as patients leave. At times it is so hectic that Andrea doesn't bother with giving each patient a receipt for the cash paid on their accounts. She assures them she will see to it that they receive the proper credit. when the traffic is slow in the office, Andrea offers to help the bookkeeper post the payments to the patients' accounts receivable. she is always happy to receive Andrea's help, because she is a very conscientious worker.

Answer 1

Identify any internal control activities that may be violated in this medical office situation.

Answer 2

Since we do not DO the work for you, do what you can and then tell us specifically how we may help you?

Sra

Answer 3

Andrea Portowski seems to be a dedicated and loyal employee to Dr. Lee Hum. However, there are a few things in this scenario that raise some concerns.

First of all, Andrea hasn't taken a vacation in the last four years. While loyalty and dedication are admirable qualities, it's also important for employees to take breaks and recharge. It might be worth mentioning to Andrea the importance of taking time off for self-care and well-being.

Another concern is regarding Andrea's handling of cash payments from patients. It is mentioned that sometimes Andrea doesn't provide receipts to patients for the cash they pay on their accounts, assuring them that they will receive the proper credit. This practice is not ideal, as it lacks transparency and accountability. It's essential for patients to have a clear record of their transactions and for the medical office to maintain proper bookkeeping.

Furthermore, when the office is slow, Andrea offers to help the bookkeeper post the payments to the patients' accounts. While being helpful is a positive trait, it's crucial to ensure that there are proper segregation of duties and checks and balances in place to maintain the integrity of financial records. The bookkeeper should ideally be responsible for posting payments to accounts receivable to ensure accuracy and prevent any potential mishandling or errors.

Overall, while Andrea's loyalty and dedication are commendable, it might be advisable to address the concerns regarding the lack of vacation time, the handling of cash payments, and the need to maintain proper segregation of duties within the medical office. This can help ensure transparency, accountability, and overall efficiency in financial operations.