Joy World Pvt. Ltd. operates five amusement centres that offer recreational activities for families, especially children and young adults. These…

Control System over Selling and Collection of Tickets: In order to achieve proper internal control over the sale of tickets and its collection by the Joy World Pvt. Ltd., following system should be adopted - (i) Printing of tickets: Serially numbered pre-printed tickets should be used and designed in such a way that any type of ticket used cannot be duplicated by others in order to avoid forgery. Serial numbers should not be repeated during a reasonable period, say a month or year depending on the turnover. The separate series of the serial should be used for such denomination. (ii) Ticket sales: The sale of tickets should take place from the Central ticket office at each of the 5 centres, preferably through machines. There should be proper control over the keys of the machines. (iii) Daily cash reconciliation: Cash collection at each office and machine should be reconciled with the number of tickets sold. Serial number of tickets for each entertainment activity/denomination will facilitate the reconciliation. (iv) Daily banking: Each day's collection should be deposited in the bank on the next working day of the bank. Till that time, the cash should be in the custody of properly authorized person preferably in joint custody for which the daily cash in hand report should be signed by the authorized persons. (v) Entrance ticket: Entrance tickets should be cancelled at the entrance gate when the public enters the centre. (vi) Advance booking: If advance booking of facility is made available, the system should ensure that all advance booked tickets are paid for. (vii) Discounts and free pass: The discount policy of the Joy World Pvt. Ltd. should be such that the concessional rates, say, for group booking should be properly authorized and signed forms for such authorization should be preserved. (viii) Surprise checks: Internal audit system should carry out periodic surprise checks for cash counts, daily banking, reconciliation and stock of unsold tickets etc.