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Metal had paid out that day to purchase scrap metal (as per the
retained copies of the receipts) with the cash register tape.
On the next business day, an office clerk would prepare a
Lyell Metal check made payable to "cash" in the total amount of
the cash that Lyell Metal had paid out on the prior business day
to purchase scrap metal, would cash this check at the bank, and
would place the cash received in Lyell Metal’s front office cash
register to replenish the cash that had been used the prior day
to purchase scrap metal.
The canceled checks made payable each day to "cash" (along
with Lyell Metal’s other canceled checks) were returned by the
bank and were retained for each year by Lyell Metal. The
retained canceled checks made payable to cash represented the
primary record that Lyell Metal used to keep track of its cost of
scrap metal purchased by cash (along with its more complete
records relating to its cost of scrap metal purchased by check).
For example, Lyell Metal used the total amount of the canceled
checks made payable to cash during a week as the total amount for
cash purchases of scrap metal for that week. Lyell Metal's
records do not reflect names, addresses, or other identifying
information regarding the customers from whom Lyell Metal
purchased scrap metal by cash.
During 1989 through 1992, Lyell Metal retained all of the
canceled checks made payable to cash. During 1989, 1990, and
through October of 1991, however, Lyell Metal retained for only 8
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Last modified: May 25, 2011