SALES CYCLE
Based on cash sales or credit transaction, the revenue cycle consist of : sales returns, and the elimination of receivables. Accounting Information System that make up the revenue cycle is :
- Credit Sales System which consist of a variety of procedures, namely :
a. The prosedure of sales ordes                    b. The credit approval procedure.                   c. Procedure for delivery of the goods.              d. Billing procedures.                             e. Procedure of recording accounts receivables      f. Record-keeping Procedures of credit sales revenue g. Record-keeping Procedures kos finished products    for sale
- Cash sales system consisting of a variety of procedures including :
1. Sales order procedure.                          2. Cash acceptance procedure.                    3. Delivery procedure.                             4. Recording cash receipts procedures.             5. Record-keeping procedures sales revrnue cash.    6. Record-keeping procedures kos finished product     for sale.
DESIGNING AUDIT PROGRAM TO TEST THE REVENUE CYCLE
- Credit sales
- Cash sales
- Returns sales
- Receivables loss backup
- Removal of accounts receivables
THE DRAFT AUDIT PROGRAM FOR CREDIT SALES TRANSACTIONS
Related Functions : editing the mail order received from the customer to add information.
Credit : credit status function in the through and given authorization granting credit.
Warehouse function : storing, preparing, and submitting the goods ordered to the delivery function.
The function of delivery : submit the goods based on mail order delivery.
Billing function : customer receives a sales invoice that is created and posted by the billing function.
