AFM 451 Study Guide - Computer File, Uptodate, Bank Reconciliation

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM 451
• Professor: James Wainberg

Document Summary

Chapter 11 the revenues, receivables and receipts process. Revenue, receivables and receipt process activities include: receiving and processing customer orders, delivering goods and services to customers, billing customers and accounting for receivables, collecting and depositing cash, reconciling bank accounts. Note: there will be different controls along the way to ensure all of these processes and activities are correct, complete and accurate. When a customer purchase order (po) is received, a number of authorizations need to be verified. Before a sales order can be created: the customer status (new or current) We have to understand whether the client is new or a continuing client: their credit status, availability of inventory (backorder) Is it availableif not can we backorder it: approved pricing of products. We have to ensure that the customer understood the pricing agreement. Note: most important aspect is authorization, pos can be faxed in/emailed by customers.