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2017-08-30

Tips/experience in auditing_EY/PwC/DTT/KPMG_3



5 when do system next year, think about boarder views. For instance, when do sales and cash receipt, think boarder, like:
1 What are their main products?
2 What are their categories of sale? Eg. Domestic/international, product lineA/product lineB, etc
3 And each categories' percentage, to decide which one is important.
4 in each category, think about their WCGWs, like revenue recognition timing and criteria/ sales return/ provisions, etc,.
5 when it comes to amount, think about, AT THE SPOT, how they are decided, any supporting they have?
6 be careful about timing, if the timing listed on the hard copy is not based on time sequence, ask why. And emphasis to clients about this question before they prepare the hardcopy.

6 about stocktake, be cautious about the following:
1 for those inventory lists that are categorised by warehouse1/2/3, there is a possibility that for one inventory, it can be stored in various warehouses. This is OK if you use the local template, but if you use standard template, there would be a trouble. You probably need to to sort out the total number of each category of inventory using pivot table. Maybe this is dependent on the format of final inventory list that clients provide us. If that list is divided by warehouse, then not need to pivot, if there is only a total number for each inventory, the. Probably pivot.
2 for cut-off information, check, AT THE SPOT, that the stock on the last 5 GRN really EXISTs on clients stock list, if not, ask why....

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