Beruflich Dokumente
Kultur Dokumente
COLLEGE OF COMMERCE
DEPARTMENT OF ACCOUNTANCY
PRESENTED TO:
DR. CEDRIC VAL NARANJO, CPA
PRESENTED BY:
CASTILLON, RHENA LYN
JUDAYA, LYNDEE
TRANGIA, RHEA
VELASQUEZ, KARL JUSTINE
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I. COMPANY BACKGROUND
a. Brief History
Lolo Tinong’s Bakery, Inc. is a family-owned bakery with its famous tagline, “Once tasted,
always wanted.” It was established by the family’s patriarch, Faustino Lao Villo or Lolo Tinong,
in 1923, and has been continuously existing until today.
b. Major Customers
The bakery vastly relies on the buying public as its major customers. As for their future goal,
they are planning to extend their selling power to supply and are eyeing such big hotels,
department stores, and other establishments to be part of their major customers.
c. Major Products
It offers and caters all kinds of breads and sweets, from the day-to-day favorites, like their front
runner “pandesal”, down to their mass produced, cookies and crinkles.
c. Branches
As of 2019, the bakery has a wide array of branches all over the region, having 72 branches,
all over the three major provinces in the region namely; Cebu, Negros Island, and Leyte.
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II. ORGANIZATIONAL CHART
BOARD OF DIRECTORS
Blessilda B. Villo
PRESIDENT
Herbert Amora
GENERAL MANAGER
Budget Documentation
RDQ PR / / Records
Operations Advertising Custodian
Manager Treasury Promo
General
Construction Services
Marketing
Area Manager Analyst
Negros
Repairs & Liaison Officer
Maintenance
Area Accounting
Supervisor –
Area Manager Cebu/Leyte
Cebu/Leyte
Logistics
Area Accounting
Supervisor – Negros
Operations
Audit Negros
Operations
Operations Audit
Audit
Cebu/Leyte
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III. DOCUMENTATION OF WALKTHROUGH PROCESS
A. INVENTORY/PURCHASING CYCLE
Ending Inventory
Sheet
INVENTORY
PURCHASER
CLERK
PO
ACCOUNTING
CLERK
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RELEASING OF STOCKS FOR PRODUCTION
• releases stocks
• logs out all
outgoing stocks
• prepares daily
“Summary of Pull
Outs”
SRF
Summary
of Pull
Outs
stocks
• updates stock
cards and
records
5
TRANSFER OF FINISHED GOODS FROM PRODUCTION
PRODUCTION TEAM
LEADERS PER SHIFT
• assumes leadership
during production
P
R
O
D
U
C
T
I
O
N
finished goods P
R
O
• prepares 2 copies Dof
FINISHED GOODS
“Production Report”
U for Summary
RECEIVING CLERK
of Pull
the Finished Goods Outs
Clerk
• receives and checks
“Finished Goods” from
productions as per
Production Report
• logs in received goods
• files 1 copy of production
report
Production
Report
Production
Report FINISHED GOODS
INVENTORY CLERK RELEASING CLERK
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B. SALES/REVENUE CYCLE
• checks and
Report
• prepares finished
reconciles goods for delivery
finished goods for to branch
delivery with the • prepares delivery
delivery report report of goods to
• delivers finished branches
goods to
branches
Delivery
Report
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SALES PROPER
BRANCH TEAM
AREA MANAGER LEADER
Sales
Record
• receives sales
• receives, checks and
confirms daily sales record
summary • makes daily sales
• makes and submits summary
sales reports to area • receives cash sales
accounting officer from cashier and
remits it to area
accounting officer
Sales
Report
AREA ACCOUNTING
OFFICER
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C. SUPPORT DOCUMENTS
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IV. INTERNAL CONTROLS AND RECOMMENDATIONS FOR IMPROVEMENT
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7. Raw material
premixes are mixed
with anti-amag (anti-
mold) ingredients to
prevent mold growth
on finished goods and
prolonged freshness.
8. Expired and unsold
finished goods are
investigated
accordingly, the
persons responsible
and who’s to be
charged for. Upon
proof after
investigation, a 50-50
charge is allocated to
the person
responsible and the
management.
9. A first in first out
(FIFO) rule on sale of
finished goods to
prevent having
expired, unsold
breads.
10. Raw materials
delivered are received
by the raw materials
receiving clerk, and
the they are also sent
to the production by
the raw materials
releasing clerk
separately. Records of
both inventory clerks
are reconciled to
properly account and
update inventory
records.
11. Raw materials
processed in each
branch are reconciled
with the finished
goods produced to
prevent any
inconsistencies and
discrepancies.
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