Key objective in the audit of the sales and collection cycle:

The account balances affected by the cycle are fairly presented in accordance with accounting standards (US GAAP, IFRS, TFRS, or others). Please be noted that the nature of accounts may vary, of course, depending on the industry and client involved.

- Sales

- Accounts receivable

- Allowance for uncollectible accounts

- Cash in bank

- Cash discounts taken

- Sales returns and allowances

- Bad debt expense

1. Sales (both cash and sales on account)

2. Cash receipts

3. Sales returns and allowances

4. Write-off uncollectible accounts

5. Estimate of bad debt expense