Telesource Colombia Lead by : Muhammad Aqeel

Prepared by: Hafiz M Umer

(Sales pre-audit procedure)

The revenue and collection cycle in a company is a repeating set of business activities and processing
operations associated with providing goods and services to customers and the collection of payments
for those sales. An efficient revenue and collection cycle is essential to ensure steady cash flow for a
company.

Sr. No. Checklist Status

The sales department is responsible for receiving the customer order AND this order
1. should be reviewed by pre-auditor to ensure that all key contents of order have been
fulfilled e.g., description of product, Quantity, updated price.
Sales department will prepare a sales order and it sends to the credit department for a
2. customer credit check and pre-auditor should ensure that the segregation between
sales person and credit check person must exist.
Pre-auditor should review the credit limits of every customer once approved by credit
3.
check department.
4. Credit limits should be reviewed by pre-audit department at monthly basis.
Review the shipment partners comparative and ensure that the relevant department
5.
chooses the lowest rates with best shipping services.
Once shipping partner rates and quality of service check done the audit department
6. should review the dispatch order report to ensure only relevant product , Quantity
and updated price tagged on customer invoice copy.
Sales order and shipping document should be submitted to receivables department
7. and ensure by auditor that it is same document submitted to receivables against which
order proceeded.
Once receivables department entered sales invoice detail into relevant customer head
8. along with tax details then the pre-auditor should review the accounting entry before
posting into system.
Approvals of all Department heads must be ensure at the time of posting into system
9.
by pre-audit departments.
Narration related to sales order must be check by pre-auditor and ensure that it’s
10.
appropriate and fulfilling the all requirements related to posting entry.

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