Preparing for AFS: Key Year-End Review Checks
With February year ends now behind us, many businesses are entering the annual financial statement (AFS) preparation phase.
If your auditors haven’t already requested supporting information, those requests are likely around the corner.
Now is a good time to ensure that reconciliations and supporting schedules are complete, accurate, and ready for review. A few important areas worth revisiting include:
1. Fixed Assets Review
Ensure your fixed asset register is accurate, updated, and aligned to the general ledger.
2. Debtors & Creditors Reconciliations
Confirm that customer and supplier reconciliations have been completed and reviewed for discrepancies.
3. Bad Debt Assessment
Review outstanding debtors with management and process any required bad debt provisions or write-offs.
4. VAT Reconciliations
Verify that VAT reconciliations are complete and supported by accurate schedules and documentation.
5. Income Statement Review
Perform a detailed review of income statement accounts for unusual balances, variances, or posting errors.
6. Balance Sheet Integrity Check
Ensure all balance sheet reconciliations agree to supporting schedules and are fully balanced.
A proactive review now can save significant time and stress later in the process.
Taking the time to review these areas before audit fieldwork begins can help reduce delays, minimise audit queries, and make the overall process smoother for both your team and your auditors.
Get in touch: info@mrbm.co.za / 031 818 9030.
