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Audit of Export Company

Naina (CA Student) (477 Points)

30 December 2009

Please guide me how to conduct audit of a garment exporting company, with special refrence to export sales and their receipt.

Thanks.

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9 Replies

CA Shailesh Ghase. ACA,B.com (CA) (114 Points)
Replied 30 December 2009

u can checked teh export sales by way of bill of lading and forign remitance documents.

check compliance of As-9 whether sales has been booked as on date of bill of lading, if it is a exoprt traind co. make sales purchase correlation, also checked duty drawback, DEPB or DFRC licenses documentations and process and feedbak from customs dept. but keep in mind that unless and untill u wont recd paymen for export u cant apply for any such subsidy.

Check compliance of AS-11, time difference in between booking of sales and recive of payment

Regards

CA shailesh Ghase

1 Like

Avni Rachh (articled assistant) (32 Points)
Replied 30 December 2009

Can you Pls send me a checklist for a Garment Exporting Company ?

CA Ashish Bansal (Manager Finance & Accounts) (73 Points)
Replied 30 December 2009

u should first start with checking of invoices of export sales with reference to bill of lading date with compliance of As-9(sales should has been booked as on date of bill of lading date)

check bank statement for remittanes of Sales by checking compliance of AS-11and book FEF on Debtors as on year end date. also checked out if the company is able to avail any export benefit like duty drawback, DEPB or DFRC licenses or not and if there than check the documents for such

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kashyap (accountant) (22 Points)
Replied 02 March 2010

when we sub book a sale of export company if the deal is fob or cfr?

exchange rate to be taken of which date for bokking sale?

naynasakpal (article) (37 Points)
Replied 04 June 2010

for booking d bill we have to take fob value or invoice given on the bill of leading & rate specified on the date of bill of leading?

naynasakpal (article) (37 Points)
Replied 04 June 2010

wht if the freight value based on assumition when bill is made is 110 and after exporting it comes 85 the diff 25 whr it will go?it Affects on fob value also na?