Farner & Marriot

Review of the Sales Leger and Credit Control functions

Farner & Marriott Veterinary Group (FMVG)

Michelle Barnett
20014870
Date completed: 14th March 2016

Contents

  1. Terms of reference 3
  2. Executive summary 4
  3. Methodology 5
  4. Introduction 6
  5. Accounting information and Systems 8
  6. Fraud 12
  7. Analysis and Evaluation of the current system 14
  8. Recommendations and Implementation 15
  9. Cost Benefit Analysis 18
  10. Appendices 20

  1. Terms of reference

      2.1 This report looks at the need to make improvements to the sales ledger and credit control functions within Farner & Marriott Veterinary Group. The aim is to reduce debtor days and ensure that all debts are accounted for, chased up where appropriate and paid in a timely manner.

      2.2 This project has also been prepared to cover the requirements of the AAT ISYS Unit, Internal Control and Accounting Systems, of the level 4 stage for the Association of Accounting Technicians.

  2. Executive Summary

The objective of this report is to analyse and review the accounting and other systems within FMVG as well as reporting on any ethical and sustainability issues that have been discovered. The reason it is being written is to recommend any improvements that are necessary and how these should be implemented and managed.
The key weaknesses are that sales ledger procedures are not being followed correctly and the systems do not link together properly so vital information and details about billing can easily get lost. Lack of credit checks done on new and existing clients, especially on large jobs, poses a huge risk in terms of the potential fee income that could be unpaid.
The key recommendations are that all systems link together remotely in to head office to ensure that all staff can easily access relevant information without the need to chase other members of staff. It is also...