I have to formulate the substantive audit procedures relating to credit sales (excluding procedures relating to accuracy and cut-off assertions)

(worth 31 marks)

This is what I have come up with so far but I feel like this will only give me about 10ish marks and I need to make up 31 marks.

Is there anything you would add or anything I haven't discussed or missing?

1. Select a sample of transaction entries recorded in the sales journal and trace the transaction to (occurrence):

• A customer order
• A picking slip and delivery note
• An invoice, and
• The invoice details were of goods sold by the client.

2. For classification tests:

• Agree the transfer amounts from the monthly sales journals to the sales and VAT control accounts in the general ledger.
• Scrutinise the sales account for the inclusion of amounts recorded as revenue but do not constitute sales e.g. interest

3. Perform analytical review procedures for trends and fluctuations (completeness)

• Gross profit analysis
• Sales prior periods
• Sales trends prior periods

4. Inspect the annual financial statements that the revenue accounting policy is clearly expressed and understandable, and inspect that sales is correctly aggregated in the statement of comprehensive income (one line) and correctly disaggregated in notes to the financial statements.