Our Accounts Receivable Credit and Collections Audit Report delves into the detailed examination of a company’s accounts receivable and credit and collections processes. The audit was conducted to assess the adequacy and effectiveness of internal controls, identify opportunities for process improvement, and evaluate the company's adherence to established policies and procedures. The report includes various samples, each providing a focused analysis on different aspects of the accounts receivable and collections system. These samples encompass executive summaries, objectives, scope and procedures performed, background information, and detailed action matrices related to credit and collections processes.

Sample 1 primarily offers an overview of the executive summary, objectives, scope and key statistics, along with issues and observations related to the accounts receivable processes. It includes appendices detailing internal control assessments and leading practices scorecards. Sample 2 continues with a similar structure but focuses more on key processing statistics and observations specific to credit and collections, including further appendices with detailed benchmarking analysis and process maps. Each sample is methodically structured to highlight areas of concern, document findings, and suggest actionable steps for management to implement, aiming to optimize the financial operations and risk management strategies of the company.

Sample audit findings:

• Policies and procedures for the accounting department need to be developed and/or updated.​
• Credit policies are not consistently adhered to by sales personnel nor consistently enforced by management.
• A consistent method has not been followed for all customers who currently have credit granted.
• The credit evaluation process is very manual in nature (time-consuming and inefficient), particularly the information-gathering process.