- 4 - the SMR partner responsible for petitioners’ and Cedar Hill’s accounts. SMR supplied petitioners with forms for the purpose of recording cash transactions in Cedar Hill’s operations. These forms were titled “Daily Sales and Cash Report” and were referred to as “pink sheets”. The pink sheets provided a means of recording different categories of cash receipts and disbursements so that petitioners and SMR could account for Cedar Hill’s cash. The cash disbursement categories included a line denoted “Personal Drawing” for recording cash withdrawn by Mr. Parsons for personal use. The pink sheets also had a line for recording the amount of cash deposited into Cedar Hill’s bank account. Mr. Parsons understood the “Personal Drawing” line to be a place for recording money taken out of the register during the course of the day for personal use. At the end of each business day, Mr. Parsons brought home the register tapes, cash, and receipts from the cash registers at Cedar Hill and gave them to Mrs. Parsons, who then completed the pink sheet record for that day. By comparing the cash and the register tapes from each cash register and shift, it could be determined whether each cashier was properly accounting for his or her cash receipts. Each morning, Mr. Parsons would take the cash that Mrs. Parsons had counted in preparing the pink sheets the previous evening, so he could deposit it in Cedar Hill’s bankPage: 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