Cash Controls

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is management’s responsibility to ensure that this reconciliation is reviewed at least once a week. Daily reconciliation should be filed for 60 days.

COD and cash refunds

The following checks and balances must be in place when authorising COD and cash refunds.

1. All refund invoices must be stamped with a refund stamp.

2. Customers contact details and signature to be documented on refund invoices.

3. Stock items have been returned in a saleable condition.

4. Copy of original invoice is attached to the customers RFC.

5. The original invoice has been correctly paid which means if payment was received by cheque that this payment has been honoured by the customer’s bank.

6. The credit note has been correctly authorised and issued.

7. The credit note is cross referenced to the branch warehouse register.

8. The original method of payment must be established and if, in the exceptional case a refund is granted, then the refund must take place according to the original method of payment.

Additional requirements for COD refunds

9. A copy of the credit note, original invoice and RFC are attached to the cheque refund voucher that is submitted to head office with your manager’s account at month end.

10. A copy of the credit note is attached to the COD refund journal that is submitted to head office for capturing to the debtors ledger.

11. COD refunds to be allocated to nominal ledger 27000 COD account.

Additional requirements for Cash refunds

12. The following documents must be attached to the relevant refund cheque voucher:

• Copy of original cash sale invoices

• Credit note

• RFC note

• Clients name and contact number documented on the copy of original invoice or Rfc.

• The recipient must sign the copy invoice/Rfc that he/she received the money.

13. In scenarios where the invoice is to old to credit the stock adjustment number must also be documented on the copy of the original invoice or rfc.

14. Cash refunds to be allocated to nominal ledger 0100cash account.

15. In addition, the branch Administrator could perform random telephonic refund confirmations to ensure monies were received by respective clients if suspicions arise due to lack of aforesaid controls.

COD supervisory controls

Branch manager’s must ensure that in the course of conducting his/her fortnightly review of the branch administration and accounting function, that the COD receipting function is comprehensively reviewed. These reviews should include the following:

• Ensuring that all documentation is correctly completed and appropriately authorised.

• Ensuring that supporting documents obtained are sufficient and appropriate to support the daily control sheets.

• Ensuring that there is a complete audit trail from driver receipt to final banking and system update

• Review to ensure that all overdue C.O.D amounts are followed up quickly and effectively.

• Ensuring that daily COD reconciliations are prepared and adequately checked.

• Surprise cash counts and the reconciliation of all money banked to money returned by drivers are part of the routine that is followed.

• Branch manager must sign documentation/records to acknowledge the control procedures that have been conducted.