Father Saturnino Urios University

Accountancy Program
Butuan City

AN AUDIT REPORT ON THE

FSUU BOOKSTORE MAIN BRANCH

IN PARTIAL FULFILLMENT

OF THE REQUIREMENTS FOR THE DEGREE

BACHELOR OF SCIENCE IN ACCOUNTANCY

By

Arbis, Sharmaine Joy I.

Brillantes, Maria Dana P.

Gascon, Euvel James P.

Manansala, Renz C.

Soria, Krisha Alaiza C.

September 2016
Introduction

The FSUU-ARSO, formerly called the FSUU Bookstore, is an

operation of the university that functions to provide academic
requirements, particularly books and test papers, supplies and
other supplementary needs of the university students and staffs.
The audit team has conducted an operational audit on the ARSO,
specifically the Bookstore, for further assessment of the various
offices and programs of the school to such. Since the ARSO is an
additional income to the university, its importance is thorough
to the school.

The significance of this audit is in relation to the school

in general and every student specifically.

The audit team, under the control of the Chief Executive

Auditor, Krisha Alaiza Soria, has evaluated and assessed whether
or not the operations of the FSUU Bookstore are effective and
efficient with regards to the needs of their consumers and their
written objective and goals. The team will be presenting their
findings and recommendations at the end of this audit report with
respect to the procedure they have undergone to evaluate the FSUU
Bookstore.

The team is mainly focused to the operations of the FSUU

Bookstore with regards to the various program deans and how they
distribute their books. The source documents and transcribed
interviews are presented in this report. This is done through
evaluation, assessment and interview.

The team has conducted an interview on the entities

associated with the ARSO and surveys on the students perspective
on the operations of the FSUU Bookstore.
An overview on Operational Audit

Definition

An operational audit process is the series of steps an auditor

takes to evaluate the operational activities of a given company
or other organization. The process is very similar to the
processes for other forms of audits, such as the financial audit,
but the operational audit process is a much more in-depth review
of the business. It usually does not focus on a single department
or project, because each department plays a role in the overall
operational process and is interconnected.

Goal

The goal of the operational audit process is to determine whether

the internal controls of the business, such as policies and
procedures, are sufficient to produce an optimum level of
efficiency and effectiveness. This is critical for businesses,
because a lack of efficiency and effectiveness typically
translates to fewer sales or increased operational costs, which
sometimes mean the inability of the business to compete and stay
in business.

The Process

During the pre audit, the auditor meets with managers, explains
the audit process and gathers basic information about the company
to determine concerns and risks. Next, the auditor meets with key
managers to verify the components of the audit and the associated
concerns. Third, the auditor meets with those in control of high-
risk areas and figures out and documents their objectives and
control activities. The auditor sends the documentation to the
managers for confirmation and discusses controls not in place.
Fourth, the auditor designs and prepares testing procedures for
each key control. He reviews the plans with managers and carries
out the tests, documenting and discussing all results and
improvement proposals. Fifth, he drafts an audit report, meeting
with management until it is clear that management knows how to
address the issues found. The final step is the creation of a
final report and follow-up.

Reference:
Thibodeaux, W.(2016). What Is an Operational Audit
Process?.Retrieved September 13, 2016 from
http://smallbusiness.chron.com/:
http://smallbusiness.chron.com/operational-audit-process-
24707.html
 Father Saturnino Urios University
Accountancy Program
Butuan City

Audit Objectives:

PRODUCTIVITY

To assure no delay in the inventorying and handling of

supplies and books.
To assure each program dean that the books and supplies pre-
ordered parallel the orders mentioned in the order form.
To accommodate students utilizing the least possible time
but maximizing service.
Procedures: Evaluation, Assessment, Interview

EFFICIENCY

To ensure that majority of the students' and programs

needs will be accommodated by the FSUU Bookstore main
branch.
To assure the reliability of the POS Inventory System.
Procedures: Inspection, Evaluation
TIMELINESS

To ensure all operations of the FSUU BOOKSTORE will

accommodate the needs, specifically meet the book
requirements to their respective professors, of the
university's students most especially in the opening of
academic semesters.
To assure that all supplies, duly ordered with approved
forms, will be inventoried on time and will arrive as
scheduled.
To ensure the probability of the arrival of additional
books on time in the case of lack of inventory.
Procedures: Assessment, Inspection
COMMUNICATION

To assure that they are maintaining contact with its

suppliers
To ensure that the branch is able to transmit information
to its regular customers as well as its suppliers to
avoid miscommunication.

Procedures: Assessment, Evaluation, Inspection

June 2016

Date Time Activity

21 10:30AM Received Audit
Request Letter
from FSUU main
branch
25 12:00-3:00OPM Brainstorming and
Preparation of
Audit Charter
28 10:30-11:30AM Revision of Audit
Charter
6:00-8:00 PM Preliminary
Interview with
Auxiliary
Resources and
Services office
director

JULY 2016

6 10:00-12:00 NN Audit Team

 meeting
Formulate
interview
questions for
client meeting
7 10:00-12:00 NN Regular meeting
with client for
fieldwork as per
agreed schedule
Focus should be
on timeliness and
communication
9 9:00-10:00PM Audit team
meeting
13 9:00-5:00PM Preparation of
another set of
interview
questions for
client meeting
14 10:00-12:00NN Client meeting
for fieldwork
Focus on
productivity and
efficiency
16 9:00-1:00PM Audit team
meeting
21 Client meeting
for fieldwork
Focus on
Efficiency and
effectiveness
23 Organize data
gathered
25-30 Analysis of Data
 Father Saturnino Urios University
Accountancy Program
Butuan City

FSUU BOOKSTORE MAIN

SYSTEMS FLOWCHART

UNIFORMS

Quantity of uniforms to be
Tailoring
ordered for tailoring will be of uniforms every twice a year
Every start of sem
estimated through the Point
of Sale System every start of
the semester

Inventory

*Inventories are
Point of Sale maintained through the
Point of Sale System
 BOOKS

The instructors list the down

Book Order Forms the books to be ordered and
are signed by the sign the book order forms
Order forms from program deans
VP Academic
Signed by VP Acad which is then noted by the
Affairs, subject program dean and signed by
to evaluation, the chairman responsible for
prior to the the recommending approval
submission of
such to the Upon receipt of the Book
bookstore Order Forms, the
Submit to Bookstore
bookstore immediately
orders the said book
from the suppliers

Goods ordered from

Order to suppliers based on order forms
suppliers are either
held on consignment or
paid through cash.

Books held on consignment Inventory

Return to consignors if unsold Point of Sale

*Inventories are
maintained through the
Point of Sale System
 SUPPLIES

Offices and Program

Estimate basic needs of students and Deans
offices file a Purchase
Requisition Form to be
submitted to the
Bookstore with the
quantities and
purpose/s specified.
Items indicated in the
Order from regular suppliers Purchase Requisition
Forms are ordered from
the suppliers

Inventory

Point of Sale

*Inventories are
maintained through the
Point of Sale System
 Father Saturnino Urios University
Accountancy Program
Butuan City

TIMELINE OF ACTIVITIES

DATE ACTIVITY
JUNE
21 Submission of request letter at ARSO-FSUU
Bookstore
Approval of letter
25 Writing of Audit Charter
28 Making of Audit Plan
JULY
1 Submission/Consultation of Audit Charter and Plan
2 Making of Operations Flowchart
4 Submission of Flowchart
5 Brainstorming regarding questions for interview
with client
6 Formulation of interview questions
7 First interview with ARSO Director
11 Consultation of minutes of the interview
Formulation of questions for program deans and
offices interview
14 Interview with ARSO Director
15 Validation of survey questionnaire for program
dean and offices
21 Gathering of book order forms
AUGUST
1-20 Analysis of book order forms, formulation of
findings and recommendations
16 Submission of letter to the VP-Academics for
interview
23 Presentation of findings and recommendations to
Dr. Jamili
27 Distribution of survey questionnaires to students
31 Interview with Human Resource Office Head
30 Gathering of Purchase Requisition Forms
SEPTEMBER
5-10 Analysis of Purchase Requisition Forms and Survey
Questionnaires
12 Finalization of Audit Report
 Father Saturnino Urios University
Accountancy Program
Butuan City

FSUU BOOKSTORE
Minutes of the Interview

Books

Q1: Is there an instance that the books shipped were damaged? If

the books were damaged, who is liable?
A: Thats the advantage of having trusted suppliers; we have our
orders in a consignment basis. Those not sold will always be
returned to the suppliers, usually on August or September; they
pull out the remaining books.

Q2: Who is the supplier? And where is the location of their

establishment?
A: We have suppliers from Cagayan, from Manila. We have regular
suppliers and some new suppliers.

Q3: How long is the shipment of the books?

A: It depends upon the supplier. It is usually within the range
within 2-3 weeks as long as stocks are available.

Q4: On what do you base your book orders?

A: For the books, it is through the book order form. The book
order form specifies the quantity.
Q5: What is the role of VP-ACAD in the ordering process? Does the
VP-ACAD give suggestions to the bookstore on the books to be
ordered?
A: They approve the book orders, basically. They are one of the
signatories of the book order form; should the teacher request
for a number of books. Early on, teachers are given evaluation
copies, teachers evaluate the books according to the merits, vis
a vis the syllabi. Because teachers they approve the orders of
the departments.

Q6: Is there an instance that every departments dean had been

delayed in giving order forms? What are your actions with regards
to that problem? Do you give deadlines for the submission of the
order forms?
A: We always ask the departments to place their orders early on.
Usually, departments give their book orders at the beginning of
classes which causes us delay thus resulting to students
outsourcing the books form different suppliers. Sometimes, they
submit their orders in the beginning of classes so given the 2-3
weeks, students have already outsourced and they will not buy
from us.

Supplies

Q7: How do you assess the estimation of the basic needs of

students and offices? Do you think the estimation is effective?
A: For the supplies, the PRS (Purchase Requisition Slip) is the
standard form; all purchases ranging from Php 700 and above are
to be complied using this form. The form, sent by a particular
office, is signed by the head of office and verified by
accounting to check if they still have the budget and approved by
the VP and sent to us for purchase and delivery to them. As soon
as they receive the supplies, they will sign the PRS which we
summarize monthly and we bill it to the finance office.

Q8: In how many days do you receive your orders?

A: As long as it is available locally, within the day we can
purchase and within the week we can deliver it.

Q9: Do you have regular suppliers? Do you canvass suppliers based

on cost, quality or both?
A: Of course, because the advantage if you have suppliers is they
can give you terms. For new suppliers, they ask us to pay in
cash. After a month, they will now allow us to pay through
checks. We canvass who can give us the lesser price at the same
time who can give us a reliable supply.

Q10: Have you experienced problems with regards to the ordering

of supplies? If yes, what are those and how did the management
settle such problems?
A: Specifically, when the supplier run out of supplies. Also,
when the department requests a particular type of brand, so we
have to wait until that specific supply is available. Another is
rush of supply, and last is if the brand is not available
locally. Basically you just have to make offices understand that
we need to plan ahead of time.

Uniforms

Q11: What kind of processes does the tailoring handle? How long
does it take the tailors to finish one product?
A: We establish it. Since we have regular suppliers, we just tell
them the quantity, the sizes and then they sew. We order 3 months
before enrolment and classes so orders will be able to arrive on
time considering the quantity of the order.

Q12: How does the number of students significantly affect your

production?
A: We do forecasting through the POS since it tell us how many
items we need. Usually, orders are the same except for this year
because there are no more 1st years. We make room for
adjustments.

Q13: How do you forecast the number of quantities to order?

A: For uniforms, the POS allows us to check our sales,
specifically the quantity. So we know for the past year, we have
sold this number of jogging pants. We do order quantities on top
of the number of students because for uniforms, the ratio is not
1:1 within students; usually students order multiple numbers of
uniforms.

Q14: What are your bases in pricing the uniforms? Do you consider
the outside factors? Do you adjust to the students' budget?
A: The prices are based on the freight. We have never changed the
prices of uniforms in 10 years, because so far our goal is
provide services to students. Providing uniforms is not the bread
and butter of the bookstore. We merely have the uniforms so
students will have something to wear. We do not plan to
monopolize the industry, the students can always outsource.
 Father Saturnino Urios University
Accountancy Program
Butuan City

ANALYSIS OF OPERATIONS
BOOKS
OBJECTIVE FINDINGS RECOMMENDATION PROCEDURE
AP
The Author of
the books
The bookstore
ordered
PRODUCTIVITY: must ensure
matched with Inspectio
that the
the books n and
To assure each number of
received; the double-
program dean that books ordered
quantity of checking
the books pre- must be
the books of book
ordered parallel the parallel with
ordered does order
books mentioned in the number of
not forms
the order form. books
correspond to
received.
the books
received.

The Bookstore
Distribu
should
There is no tion of
thoroughly
date required notice
examine the
and source and
book order
indicated to guidelin
forms upon
some book es of
receipt and
order forms. proper
sign to ensure
filing
the validity of
of forms
such

COMMUNICATION: 50% of the

To ensure that actual
the branch is student There should Evaluation
able to transmit population be prompt of the
information to notification bookstore
its regular on how the s and
customers as well program dean deans
as suppliers to bases the estimation
avoid estimation of of orders
miscommunication. orders. and
 implement
a
statistica
l research
on the
best
estimation
.

TIMELINESS
To assure that
all supplies,
Books are The best Process
duly ordered with
usually possible the book
approved forms,
received period for the order
will be
during availability forms
inventoried on
classes; 1st. of the books upon
time and will
or 2nd week ordered is receipt
arrive as
of classes. during 1st week to avoid
scheduled.
of classes. delays.

1. To
ensure
no delay
TIMELINESS: in the
inventor
To ensure all
y, the
operations of the
program
FSUU BOOKSTORE
dean
will accommodate
must
the needs,
submit
specifically meet
book Follow
the book
order up on
requirements to
forms 2 the book
their respective
weeks orders
professors, of
Orders are before and
the university's
placed during the setting
students most
enrollment. commence up of
especially in the
ment of deadline
opening of
classes. of the
academic
2. The order
semesters.
bookstor forms
e must
process
the book
 order
forms
upon
receivin
g them.
OBJECTIVE FINDINGS RECOMMENDATION PROCEDURE
BAP
Evaluati
The Author of on of
the books Compare and the
ordered evaluate the number
PRODUCTIVITY:
matched with bookstores and of
the books deans students
To assure each
received; the estimation of in each
program dean that
quantity of orders and program
the books pre-
the books implement a and
ordered parallel the
ordered does statistical assessme
books mentioned in
not research on the nt of
the order form.
correspond to best such
the books estimation. with the
expected. program
deans
1 To
TIMELINESS: ensure
no delay
To ensure all in the
operations of the inventor
FSUU BOOKSTORE y, the
will accommodate program
the needs, Orders are dean Inspect
specifically meet placed when must ion and
the book the need submit double-
requirements to arises book checkin
their respective order g of
professors, of forms 2 book
the university's weeks order
students most before forms
especially in the the
opening of commence
academic ment of
semesters. classes.
2 The
bookstor
e must
process
the book
order
 forms
upon
receivin
g them.

COMMUNICATION:
Inform
To ensure that
the
the branch is
There should be respecti
able to transmit
The program prompt ve
information to
is not given notification program
its regular
notice when when there is in case
customers as well
there is unavailability of
as suppliers to
delay of of books or delays
avoid
books. delay in its or
miscommunication.
deliverance. unavaila
bility
of books

TIMELINESS:
To assure that
Books are
all supplies, Process
usually
duly ordered with The best the
received 1
approved forms, possible period book
week after
will be for the order
the
inventoried on availability of forms
submission of
time and will the books upon
book order
arrive as ordered is receipt
forms; there
scheduled. during 1st week to
are times of
of classes. avoid
delay
delays.

ASP
Signatory of
PRODUCTIVITY: the recipient
is lacking in
To assure each Bookstore should Inspectio
most of the
program dean that examine the book n and
forms
the books pre- order forms upon double-
ordered parallel the receipt of such checking
books mentioned in and sign the of book
the order form. forms to assure order
validity of forms
 orders
Quantity of
books ordered
are usually
based on the
book order
form and the Evaluatio
program deans n of the
Compare and
complained number of
evaluate the
that the students
bookstores and
bookstore in each
deans estimation
will reduce program
of orders and
the quantity and
implement a
ordered thus assessmen
statistical
accuracy of t of such
research on the
forecast will with the
best estimation.
depend on the program
deans deans
estimation
of orders.

Bookstore should
follow-up the
PRODUCTIVITY: program deans
There is no Follow-up
upon submission
To accommodate exact date of the
of the book order
students utilizing indicated bookstore
forms and relay
the least possible when the to the
to the deans that
time but maximizing books are program
proper indication
service required. deans
of the date
required is
essential
EFFICIENCY:
To ensure that Lack of The Bookstore Distribut
majority of the proper should give ion of
students' needs will identificatio notice to the notice
be accommodated by n of program deans and and
the FSUU Bookstore author/source give them guideline
main branch. in the book instructions on s of
order form. how to properly proper
 Proper
identificatio
n of book filing of
fill the form up
title and forms
author is
vague

TIMELINESS:
To ensure all
operations of the
FSUU BOOKSTORE will
accommodate the Follow up
needs, specifically on the
Implementing a
meet the book book
Department deadline of weeks
requirements to orders
their respective deans delay before the
and
professors, of the in submitting scheduled order
setting
university's book order of books from
up of
students most forms suppliers. A
especially in the deadline
beforehand. minimum of two
opening of academic of the
weeks beforehand.
semesters. order
forms
NP

PRODUCTIVITY:

To assure each No author and Inspecti

The dean should
program dean that source of the on and
completely fill-
the books pre- book has been double-
out the form, to
ordered parallel the listed. checking
avoid the error
books mentioned in of book
in giving books.
the order form. order
forms

The date The bookstore

TIMELINESS: ordered and should give Follow
required are notice if when up on
To assure that all too near. The will be the the book
supplies, duly Nursing possible orders
ordered with Program has arrival of the and
approved forms, will ordered books books. They setting
be inventoried on one week should also up of
time and will arrive before the inform the deadline
as scheduled. required date offices that of the
instead of before 2 to 3 order
 weeks must be
the two weeks
the giving of
requirement
the purchase forms
of the
order form.
bookstore.

SUPPLIES

OBJECTIVES PROCEDURE FINDINGS RECOMMENDATIONS

Assessment of Dates are not Before submission

Purchase properly to the bookstore,
Requisition filled in the the various
Forms Purchase school offices
Requisition must make sure
forms the dates are
properly filled.
Such proper
filing of dates
is necessary so
the bookstore may
arrange their
purchase
requisition forms
in chronological
order.

The staffs
responsible for
accepting
purchase
requisition forms
must make sure
the dates are
filled in
properly before
receiving such.
The staff must
also brief the
various programs
 that the complete
filing of
purchase
requisition forms
is necessary so
there may be
minimal errors
only in the
processing of
such.

Assessment of The purpose for

Purchase filing must be
Requisition determined
Forms beforehand. Such
duty must be
loaded upon the
person
accountable for
The purpose of
the filing of
purchase
Purchase
wherein the
Requisition
budget codes
Forms. This is
are indicated
because the
is not
specification of
specified in
the purpose/s is
the Purchase
needed for the
Requisition
reason that
Forms
completeness is
necessary to
ensure the
authenticity and
comprehensiveness
of the purchase
requisition forms
upon review.

There is no The quantity of

specification the items ordered
of the number must be indicated
of units to be in the Purchase
ordered for a Requisition forms
 so that the
ordering of the
items indicated
particular
will not be
item in the
erroneous and
Purchase
will parallel the
Requisition
number of units
Forms
desired by the
office for a
specific item.

Assessment of In ordering a
To ensure
Purchase specific item
the
probabilit Requisition from the FSUU
y of the Forms Bookstore, it is
arrival of of upmost
additional importance that
books on the date when the
time in supplies are
the case
needed be
of lack of
supplies. indicated so that
in any case of
The date when
delay or
the supplies
cancellation in
are needed is
either the
not specified
supplier or the
in the
bookstore for any
Purchase
reason stated,
Requisition
the bookstore
Forms
will be able to
adjust the
ordering of the
items with
respect to the
date when the
items are needed
to avoid or
minimize the
presence of
delays.
Uniforms

Based on the teams survey on students with regards to the

types of items they purchase from the bookstore, it was found
that most of such items were books and some were supplies. Very
rarely were there students who purchase uniforms from the
bookstore for the reasons (1) the bookstore does not require the
purchasing of books uniforms specifically from such and (2)
external tailors can attend to the customization of the fitness
with regards to the students sizes.

The teams recommendation for such is that, as much as

possible, the bookstore be able to attend to more sizes that the
students need and promote the buying of uniforms from them since
the income generated from such activity is the same income that
will help the school.
 POINT OF SALE

POINT-OF-SALE (POS) SYSTEMS

POS systems are used extensively in grocery stores, department
stores, and other types of retail organizations. In this example,
only cash, checks, and bank credit card sales are valid. The
organization maintains no customer accounts receivable. Inventory
is kept on the stores shelves, not in a separate warehouse. The
customers personally pick the items they wish to buy and carry
them to the checkout location, where the transaction begins.
DAILY PROCEDURES
First, the checkout clerk scans the Universal Product Code (UPC)
label on the items being purchased with a laser light scanner.
The scanner, which is the primary input device of the POS system,
may be handheld or mounted on the checkout table. The POS system
is connected online to the inventory file from which it retrieves
product price data and displays this on the clerks terminal. The
inventory quantity on hand is reduced in real time to reflect the
items sold. As items fall to minimum levels, they are
automatically reordered.

When all the UPCs are scanned, the system automatically

calculates taxes, discounts, and the total for the transaction.
In the case of credit card transactions, the sales clerk obtains
transaction approval from the credit card issuer via an online
connection. When the approval is returned, the clerk prepares a
credit card voucher for the amount of the sale, which the
customer signs. The clerk gives the customer one copy of the
voucher and secures a second copy in the cash drawer of the
register. For cash sales, the customer renders cash for the full
amount of the sale, which the clerk secures in the cash drawer.
The clerk enters the transaction into the POS system via the
registers keypad, and a record of the sale is added to the sales
journal in real time. The record contains the following key data:
date, time, and terminal number, total amount of sale, cash or
credit card sale, cost of items sold, sales tax, and discounts
taken. The sale is also recorded on a two-part paper tape. One
copy is given to the customer as a receipt; the other is secured
internally within the register and the clerk cannot access it.
This internal tape is later used to close out the register when
the clerks shift is over.
At the end of the clerks shift, a supervisor unlocks the
register and retrieves the internal tape. The cash drawer is
removed and replaced with a new cash drawer containing a known
amount of start-up cash (float) for the next clerk. The
supervisor and the clerk whose shift has ended take the cash
drawer to the cash room (treasury), where the contents are
reconciled against the internal tape. The cash drawer should
contain cash and credit card vouchers equal to the amount
recorded on the tape.
Often, small discrepancies will exist because of errors in making
change for customers. Organizational policy will specify how cash
discrepancies are handled. Some organizations require sales
clerks to cover all cash shortages via payroll deductions. Other
organizations establish a materiality threshold. Cash shortages
within the threshold are recorded but not deducted from the
employees pay. Excess shortages, however, should be reviewed for
possible disciplinary action. When the contents of the cash
drawer have been reconciled, the cash receipts clerk prepares a
cash reconciliation form and gives one copy to the sales clerk as
a receipt for cash remitted and records cash received and cash
short/over in the cash receipts journal. The clerk files the
credit card vouchers and secures the cash in the safe for deposit
in the bank at the end of the day.

END-OF-DAY PROCEDURES
At the end of the day, the cash receipts clerk prepares a three-
part deposit slip for the total amount of the cash received. One
copy is filed and the other two accompany the cash to the bank.
Because cash is involved, armed guards are often used to escort
the funds to the bank repository.
Finally, a batch program summarizes the sales and cash receipts
journals, prepares a journal voucher, and posts to the general
ledger accounts as follows:
 DR CR
Cash XXXX.XX
Cash Over/Short XX.XX
Accounts Receivable XXX.XX
Cost of Goods Sold XXX.XX
Sales XXXX.XX
Inventory XXX.XX

The accounting entry in the table may vary among businesses. Some
companies will treat credit card sales as cash. Others will
maintain an AR until the credit card issuer transfers the funds
into their account.

Reference:
Accounting Informations System by James Hall

FSUU BOOKSTORE POINT-OF-SALE

FSUU
BOOKSTORE
 The bookstores inventory and sales system is dependent on
the point-of-sale.

Upon receipt of the Book Order Form, the Bookstore orders

the specific items mentioned on the forms. After which, they bill
the different programs for their ordered items along with the
mark-up cost that they base from the freight of the goods, such
freights depending on the location of the supplier (ultimately,
the farther the supplier, the higher the freight; the faster the
mode of transaction, the higher the freight).
 The finance department then checks the account balance of
each department and transfers the billed balance to the
bookstore.

DATA FLOW DIAGRAM

PROPOSED SYSTEM

Student

Finance Department
Billing
 In the proposed system, the auditors emphasized the
involvement of the program deans because such entity contributes
a great participation to the operations of the bookstore.

As could be seen in the diagram, the Program Deans fill up

the Book Order Form so their orders may be specified.

Upon filling up, the filed Book Order Forms will be sent to
the Vice President-Academic Affairs for approval and for validity
that such books ordered are following the syllabus assigned to
them individually. The approved Book Order Forms now reaches the
FSUU Bookstore where it will be undersigned as received and will
be subject to scheduling for order. Those Book Order Forms
Already scheduled will then be recorded in the Sales Records.

After the recording of such, the FSUU Bookstore orders the

specified books to the suppliers wherein the Program Deans took
part in canvasing. This order will then be recorded in the
Ordered Goods Journal so the bookstore will be able to keep track
of the goods in transit.

The Bookstore then sends a bill which indicates the amount

to be paid by the Programs, already subject to mark up. Such
billing will be handled by the finance department and paid by the
same using the budget allocated by the school for each programs.

Upon the receipt of the goods, it is then held for sale in

the FSUU Bookstore open for access of the students and so such
books may be utilized for academic purposes.