REVENUE CYCLE, RECEIVables, AND ACCOUNTS RECEIVABLE 21 Responsibilities and procedures for reviewing the monthly seniority of the

Responsibilities and procedures for reviewing the monthly seniority of the are established.
OBJECTIVES: overdue accounts and timely follow-up on expired accounts and unusual items?
Verify that the internal controls implemented allow for the complete recording of transactions. Monthly account statements are sent to the entity's debtors and any discrepancies
2. Verify the correct segregation of duties. Is the informed person receiving timely follow-up?

3. Verify that the controls determine the actual existence of the income. Accounts receivable are circulated, following and adjusting the obtained differences, at least one
4. Verify that the operations are authorized and properly documented. once a year?
5. Determine the degree of implementation of internal controls in the institution. 24 The granted credits include:
- approval from the competent authority?
1 Does the entity have a unit responsible for cash control? - backup documentation?
2 All received income is recorded accounting-wise within 24 hours and deposited in
immediately or at the latest by the first hour of the next day? CYCLE OF PAYMENTS AND ACCOUNTS PAYABLE
3 For every payment, an official receipt from the entity is provided, which is a pre-numbered form. OBJECTIVES
printing press? 1. Verify that the internal controls implemented allow for the complete recording of transactions.
4 Are fixed funds or revolving funds closed at the end of the management? 2. Verify the correct segregation of duties.
5 Are surprise audits carried out on funds and assets? 3. Verify that the controls determine the actual existence of the disbursements.
6 Bank accounts are exclusively opened in the name of the entity and in a limited number or 4. Verify that the operations are authorized and properly documented.
strictly necessary? 5. Determine the level of implementation of internal controls in the institution.
7 The person in charge of cash management prepares cash flows according to their specific characteristics.
8 The entity implemented specific manuals and procedures for the custody, registration, and physical safeguarding of 1 Does the entity have its own procedures related to the acquisition of goods?
the funds? 2 Does the entity have a person in charge of purchases?
9 Are all deposits made by third parties identified? 3 The purchasing functions are separated from:
10 Does the entity have safes for the custody of cash? a) control? (reception)
11 The cashier prepares a daily sheet or report of collections in which a detailed... b) record? (accounting)
For all the day's income? 4 All the documentation has pre-printed numbering and this is properly arranged.
12 Is the daily report or form sent to accounting for its accounting record? guarded?
13 Invoices, fiscal notes or equivalent documents are issued for all services in accordance with regulations. 5 Does every expense have sufficient documentary backup?
legal? 6 The supporting expense documents are originals and are rendered unusable with a date stamp.
14 Invoices are reviewed to ensure the accuracy of: canceled at the time of the disbursement?
a) Quantities? 7 Payments to suppliers are made after verification of identification and the signing of a certificate.
Prices? reception?
c) Arithmetic operations? 8 Are the accounting documents properly filed?
15 Are the revenues recorded in the corresponding period? 9 The issuance of checks is supported by expense receipts and documentation.
16 Are bank charges and credits accounted for in a timely and complete manner? supporting?
17 The income receipts are duly backed by supporting documentation and/or 10 The unused checkbooks are safeguarded by officials dependent on
are they archived making them easily accessible? turn?
18 Are all accounting documents authorized? 11 The rejected checks are attached to the expense receipt, and in case of an error in the issuance of the
19 There are protective or security measures such as insurance against theft, fire of valuables and Is this check canceled in the checkbook?
documents? Are those responsible for issuing checks properly authorized?
Are auxiliary records of accounts receivable being prepared?