Approach to reviewing client accounts

Please could anyone let me know if there is a standard approach to reviewing and preparing client accounts from the TB/nominal ledger.  I did n't train in an accountancy practice and am concerned my approach may not be the most efficient!

Thanks

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scalloway's picture

My Approach

scalloway | | Permalink

This is my approach. Remember you are not doing an audit of every figure, just making sure that the client has not made a faux pas that will come back to haunt him.

Balance Sheet

Balance the bank
Compare closing debtors balance with other evidence, file of unpaid accounts, cash received etc
Ditto closing creditors balance
Get invoices for new assets and check existence of opening balances

Profit and loss

Run through nominal ledger and check for miscodings, personal expenditure charged to P&L and capital items posted to revenue.
Look for prepayments for rent, insurance etc
Compare totals with previous years if available

Do journals for miscodings, omitted bank items, depreciation etc.
Present client with a draft for their comments.

Reviewing client accounts

lizcraig | | Permalink

Thanks, that's very helpful!

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