textbooks and other class materials sold through the
All textbook requisitions for classes taught through
Wichita State University must be processed through the
University Bookstore. To minimize cash handling
in departments and to ensure sales tax is collected,
other class materials (such as course packs or study
guides) are best sold through the University
C-2 Is a cash receipts journal
kept or is a pre-numbered receipt or cash register
receipt promptly issued for all payments?
Cash receipts records should be sufficient to provide
an audit trail of the cash received and to provide
evidence of what was received in case of a later
keep copies of checks and credit card receipts.
The retention of banking data in departments actually
increases risk to the University should the data be
lost or stolen. If these items are needed
later, the University cashiers will have the necessary
copies or the cashiers can obtain them from the
C-3 Is each
check restrictively endorsed upon receipt with the
phrase "For Deposit Only" to the account of Wichita
To help prevent their diversion or unauthorized
cashing, checks should be restrictively endorsed upon
C-4 Are cash receipts physically
safeguarded against theft or loss?
Cash receipts are vulnerable to theft or loss.
Cash receipts should be locked up in a secure location
with limited access when the person responsible for
them is not present.
deposits made timely?
To minimize the risk of loss due to theft, cash
receipts should be deposited promptly (within two
business days) using a locking deposit bag provided by
the Office of Financial Operations and Business
Technology. In periods of limited activity,
deposits should be made at least weekly or whenever
$100 or more has accumulated.
C-6 Are cash receipts deposited
in the Office of Financial Operations and Business
Technology (except for gifts and certain grants made
specifically to the WSU Foundation)?
State statutes require that most all cash receipts be
deposited with the state treasury. This is
accomplished by making deposits into a University
account through the Office of Financial Operations and
C-7 Are cash
receipts deposited intact, with no cash retained or
Cash receipts should be deposited intact with nothing
held back for making change or to pay small
expenses. Change funds are authorized only
through the Accounts Receivable Department in the
Office of Financial Operations and Business
Technology. Change funds are never to be used
for petty cash or employee check cashing or loans.
C-8 Are appropriate account
codes and detail codes used for recording deposits?
Financial reports are more useful when revenues are
properly classified and accompanied by an apt
example, checks received from the WSU Foundation are
best deposited to account code R80073, Gifts-WSU
Foundation, rather than R80154, Miscellaneous
Income, R80176, Salary Income from
Other Entities, or R80194, Recovery of Expenditures.
C-9 Has a
determination been made as to whether any cash
receipts are subject to sales tax?
As a public educational institution, the University
is generally exempt from sales tax on its
purchases. However, the University is required
to collect and remit sales tax on taxable sales.
Sales made to students, the general public, businesses
or not-for-profit organizations are generally subject
to sales tax, even if the sales price is established
on a cost-recovery basis and no profit is earned.
C-10 Are amounts collected for
sales tax deposited in account R80121, State Sales
Depositing sales tax in account R80121, State Sales
Tax, will ensure that the Office of Financial
Operations and Business Technology will report and
remit the tax collected to the state.
about sales tax can be found in our Audit
newsletter - "Sales
C-11 Does the department accept
payments by credit card?If the answer to this question is no, skip Questions
12 and 13 and resume with Question 14.
Does the department comply with the requirements of Section
13.14 of the
Policies and Procedures Manual , Security of Credit Card Data?
Key requirements of Section 13.14 include:
Electronic storage of credit card data is not permitted
under any circumstances on any type of storage
device. Permanent physical storage of credit card
data is not permitted. Credit card data received
on documents or forms must be removed from the form and
destroyed within two business days. All transactions that involve the transfer of
credit card data must be performed on systems
provided or approved by the University for this
No credit card numbers or any documentation
containing credit card numbers or cardholder data
shall be transmitted or stored in any personal
computer or email account used by the
No paper documents, including but not limited to,
paper receipts and handwritten notes, containing
credit card numbers or cardholder data shall be
stored by the department.
Does the department have written procedures that
address the collection and processing of credit card
To comply with PCI DSS, the Office of Financial
Operations and Business Technology requires that each
department have written credit card procedures that are
specific to its operating environment.
Is the recording of cash receipts periodically
verified for accuracy?
Though rare, errors occasionally occur and deposits may
be recorded to an incorrect department or account
code. Cash receipts should be verified at least
weekly to ensure they are accurately recorded and to
provide prompt follow-up in the event a discrepancy is
It's also important to consider segregation of
duties. One person should not be entrusted with
all aspects of receiving, depositing and verifying cash
Does the department sell course packs?
If the answer to this question is no, skip Question
Are course packs prepared and sold in accordance with
the following protocol?
All course pack materials are to be reproduced in
3.36 of the WSU Policies and Procedures
Manual, and the University’s Copyright
Guidelines ( Supplement
to WSU Policy Section 3.36). All course pack materials are to be reproduced by
Duplication Station in compliance with
15.03 of the WSU Policies and Procedures
Manual, or by using the department’s copier.
Material may be copied (at either Duplication
Station or in the department) only where copying the
material can reasonably be considered fair use or
where there is a University license to copy the
material or where there is permission to copy, which
should be clearly set forth on the material to be
The Office of the General Counsel is available for
consultation regarding the application of federal
copyright law to specific factual scenarios.
All reproduction costs are to be borne by the
The University Bookstore is the preferred avenue
for the sale of course packs.
If course packs are sold out of the department,
sales proceeds are to be deposited no less than
weekly into the department’s RU account and state
sales tax must be accounted for.
Under no circumstances should course packs be
reproduced off campus.
Under no circumstances should an instructor retain
the proceeds from course pack sales.