Question - Linda Hall, manager of Rio Grande Building Corp., has been with the company for several years, therefore, she is valued and trusted. Linda is in charge of recording collections on accounts, making the daily bank deposits, and reconciling the bank statements. As the sole manager and with responsibilities described above, she has not taken a vacation since she began working.

Earlier this year, clients began complaining to you, the president, about incorrect statements. As president, you checked into the matter. Linda assures you there is nothing to worry about in this situation. She asserts that the problem was due to slow mail, which made customers' payments and statements cross in the mail. However, because clients were not complaining last year, you doubt that the mail is the primary reason for the problem. Consider the following questions as you respond:

• What might be some of the reasons for the delay?
• What are some other problems that might begin to occur?
• What will you do to remedy the problem?
• What should be done to make sure such problems are avoided in the future?