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The following audit procedures relate to Revenue: Select shipping documents from just before yearend and verify that the related sale is excluded...
The following audit procedures relate to Revenue:
1. Select shipping documents from just before year‐end and verify that the related sale is excluded from the sales journal.
2. Select shipping documents from just after year‐end and verify that the related sale is included in the sales journal
3. Select a sample of entries in the sales journal and compare with the related shipping document.
4. Select a sample of shipping documents and identify those for which no related cash receipt exists.
5. Select shipping documents from just before year‐end and verify that the related sale is included in the sales journal.
6. Select a sample of shipping documents and identify those for which no related invoice exists.
Required:enter the number of the best audit procedure above which would be used to:
a) Verify that recorded sales are valid (occurrence).
b) Verify that all valid sales were recorded (completeness).
c) Test for proper cut‐off of sales.
