ING

, 2019
HONAIN RASUL
Fa17-Baf-032
Contents
INTRODUCTION OF COMPANY....................................................................................................................3
ACCOUNTING INFORMATION SYSTEM........................................................................................................4
PURCHASE CYCLE.........................................................................................................................................4
REVENUE CYCLE...........................................................................................................................................4
INTRODUCTION OF COMPANY
The company selected by me is Delta Garments (Pvt) Ltd. 17km Off Ferozepur Road, Attari
Saroba, Atta Baksh Road, (Beside Rohi Nala), Bank Stop. IT is a garment manufacturing
company which uses Nextreme and Apptreme as a accounting software.
ACCOUNTING INFORMATION SYSTEM
The current accounting system and the whole cycle from purchasing to the process of cash disbursement
is done by both Cash and bank accounts. If break down the process further, the process could be
categorized by different accounting cycles. Such as purchasing cycle, revenue cycle and finance cycle.
Further there exist conversion and payroll cycle out which the previously mentioned purchasing, revenue
and payroll cycle would be discussed in this report of the visited firm. The first step to every firm’s work
operation starts with the purchase of the material for the processed goods to be made

PURCHASE CYCLE
The selected company starts its purchasing when they receive the order from the customer. When
the company receive the order they check their warehouse physically to see that whether they
have following inventory according to the order. If not then the warehouse manager issue
purchase requisite which is approved by the finance department
After that it is send to the accounts departments which record it as a source document. And
generate purchase order which is send to the vendors. Copy of PO is sent to finance department
and inventory department.
When goods arrived at gate inward gate pass is issued. Then they count the goods and match it
according to the PO and send it to the warehouse. Then all the documents are send to accounts
department which generate good receivable note. GRN is then send it the cash disbursement
officer.

REVENUE CYCLE
Revenue cycle is started when it receive PO from customer through email. It is then approved by
CEO. It then goes to account department they made sales order. One Copy of SO is recorded in
account department and one copy is sent to sale department along with goods release document.
And one copy is sent to warehouse

When goods are ready then it is shipped to shipping departments from there it is sent to
customer.