Chapter 14 - Cash Control and Banking

VPD pitches in to help Salvation Army after $25,000 theft

An incident happened on Wednesday night where thieves’ had stolen $25,000 worth of Christmas toys from the Salvation Army warehouse. More than 80 boxes of toys were stolen from the warehouse. This is enough for 1,400 families who is in need of it. Those toys were for the vulnerable citizens of Canada; for them to celebrate a happy Christmas with food and gifts. A drive would be held to buy enough presents for the homeless and starting with a $2,000 donation from the Vancouver Police Department (VPD). The VPD are on their way to solving the case of the stolen assets.

This article of Salvation Army shows that they need a better internal control over their large amount of asset. They are a non-profitable organization but it doesn’t mean that they don’t need a good vault to protect their assets. And what if the drive wasn’t successful in raising enough money cause by the economy is going down and Canadian citizens aren’t in the mood to share their wealth. They shouldn’t let anything slip out of their hands. To prevent something like this from happening again, the accountants can suggest keeping the assets in a safer place (better security), allowing only a few keys for trusted employees, and/or separate the responsibilities between workers.

After reading this article, I felt frustrated by how our society is becoming crueller. In the news I hear people are murdered or there was a break-in. I cannot believe how people can be so ruthless to each other, we are all human beings! Don’t you just wish there were peace around and trust between others again, just like the olden days where there wasn’t evil lurking around? I feel sorry for those homeless people who can’t even celebrate a proper Christmas just because a group a people had taken it away from them. Sometimes adding security isn’t going to solve anything.

http://www.vancouversun.com/pitches+help+Salvation+Army+after+theft/1039239/story.html

Chapter 12 - Specialised Journals

Think iPood is funny? That's money in her pocket

In an economical crisis, Seeing Is Believing novelty store, owned by Grace Lam, is doing just fine on sales like the economy was in a good condition. The store manger noticed consumers continuing to buy gifts for their friends and family and they don’t mind the price when those gifts brighten up their day. Their main customers ranging from the ages of 18-25 who has the most disposable income spend the most and the store earn the most from that group. During an economic downturn, people tend to be pessimistic but with a store full of laughter and happiness, the sadness is all gone.

Even though the article doesn’t directly connect to Chapter 12, but it is somewhat linked to which journal system should be preferably used for the company, which should be the synoptic journal. Seeing Is Believing isn’t a large corporation to have a large accounting department to computerize their transaction but instead they can use a human produced synoptic system to record their transactions. They owned 5 stores in Victoria and now it is down to 2. With only 2 stores left, they wouldn’t need an accounting department to do the accounting work, so a few accountants would be okay to finish the job. Also, their entries are routine transactions so they wouldn’t need someone specialised to do the work.

This is an article doesn’t have a large impact on me but looking around me, many stores are being impacted by the downturn of the economy. I can see small and large stores are in a struggle to keep itself in business and large banks, like in the U.S., are having trouble because of bankruptcy. When I start earn my own money, I will realise a bad economy will be hard times for everyone. Hearing many suicides caused by the downturn of the economy is depressing. Consumers should buy more to support the economy and bring it back to where it was before or better.

http://www.canada.com/vancouversun/news/business/story.html?id=0321364b-51ee-45b6-b42b-bd24b3632c1c

104 babies 'critical' in China milk scandal

Shijiazhuang is the capital of Hebei, which is also the homeland of the well known dairy trade company, Sanlu Group. An incident has occurred to the company that many children who drank their milk products are developing symptoms of kidney stone. This is cause by melamine, an industrial chemical used to make plastic. Many supermarkets are taking all Sanlu milk products off their shelves and stopping the imports from the company. The big issue in the article is that babies are being poisoned by the tainted milk formula. Supermarkets are not accepting Sanlu products anymore as well as having a hard time from the citizens who are affected.


This article touches on the topic of merchandise returns and allowances because it talks about the milk products being stopped from imports and are taken off the shelves. When all the products are taken off the shelves, it means that the supermarkets believe the products are defective and are going to be returned to the wholesaler (Sanlu). Sanlu will be troubled by many credit invoices that they are going to receive from their customers because of this scandal. The credit invoice transactions will reverse the process of receiving money to now, owning money back to customers.


After reading this article, I feel sorry for the families and, especially, the babies having to suffer through this because of careless mistakes of ones act. China has to be more careful on the quality of what they produce. If not, the consequences can be large. But for that chemical to happen to appear in the milk products is because there too much waste near their factory. Even though it is not affecting me but I am Asian. I wish China can become a well known and positive country that I can be proud of.

http://www.canada.com/vancouversun/health/story.html?id=5bad00d6-3e2f-4340-9c17-1a723ff50b1d