NATIONAL TYRE SERVICES LIMITED

AUDIT PROGRAMME
SALES CREDIT NOTES (comprehensive tests
OBJECTIVES: To check whether all credit notes are:
Valid and Accurate
Cross-referenced to the original document
Casings acce!ted for stock retread through credit notes are taken onto the stock record
All cancelled credit notes are not !rocessed
All items returned to stock through credit notes are entered onto the rele"ant stock records
#etails of an$ co!$ credit notes agree with fast co!$ in credit note %ook
Steps


& Identif$ all credit notes issued since the last
Audit
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* Check whether the %ranch manager signs for all
credit notes
+ Check whether all credit notes are cross-referenced
with the original document num%er
+& Check whether the original charge document is
endorsed with the credit note num%er
, Check whether each credit note is endorsed with
the reason for the credit
- Check whether credit note detailseg unit !rice. /uantit$. customer
name
0 1ist all credit notes on which goods ha"e %een returned %$
customers and on which casings ha"e %een %ought for use as
stock retreads23SE 4'I(TE# 5O'6S ATTAC7E#8
0& Check that all the acce!ted goods were accounted for on the
rele"ant stock records eg karde9 cards
: Check that all cancelled credit notes do not a!!ear on the rele"ant
customer;s statement as "alid
< Check that details of an$ co!$ credit notes are consistent with the
fast co!$ in the credit note %ook
!OR" DONE
YES !#P$per re% NO

<& Check to ensure that the credit has not %een !rocessed %efore
= Check that an$ credit notes re"ersing an in"oice charged to a
wrong
Account /uote the su%se/uent in"oice charged to the correct
account

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!OR" DONE
YES !#P$per re% NO