- 6 -
Petitioner's Books and Records
Ms. Lynn Cates was petitioner's bookkeeper from 1983
through the years in issue. She worked in an office that
petitioner maintained during the years in issue in Corpus
Christi. Ms. Cates used a journal bookkeeping system
referred to as the "One Write System" to record
petitioner's cash disbursements and deposits. All of
the checks in petitioner's checkbook were made with a
carbon backing so that anything written on a check was
automatically copied into a journal. Ms. Cates reconciled
the entries in the journal with petitioner's bank account
each month. In 1989, she established a general ledger
system which she used in addition to the "One Write
System".
Ms. Cates had no bookkeeping experience when she
started working for petitioner in 1983. She received
some initial training from petitioner's previous bookkeeper
and some additional training from Ms. Elizabeth Ruble, a
certified public accountant, who was involved in the
preparation of petitioners' 1988, 1989, and 1990 returns,
as further described below. Ms. Cates took a basic
accounting class and a computer accounting class in 1985.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011