**Title** Testing of Revenue Cut-off at 31 December 2025 (FY2025) **Objective** The objective of this workpaper is to assess whether revenue transactions were recognized in the correct accounting period around year-end. **Source Data / Population** The population comprised revenue transactions recorded in the sales journal around the year-end of 31 December 2025. The sales journal was extracted on 27 January 2026 by the Finance Manager. The total population size was not provided. A sample of 25 transactions was selected from this population, consisting of 15 transactions recorded in December 2025 and 10 transactions recorded in January 2026. **Procedures Performed** A sample of 25 revenue transactions recorded around year-end was selected from the sales journal. For each selected transaction, the following procedures were performed: * Agreed the invoice date to supporting documentation. * Inspected the shipping date and delivery documentation (including delivery notes and proof of delivery where available). * Compared the shipping and delivery dates to the general ledger posting date. * Assessed whether revenue was recognized in the appropriate accounting period based on the timing of dispatch and delivery. **Results / Findings** Out of 25 transactions tested, 23 transactions were recorded in the appropriate accounting period with no exceptions noted. Two exceptions were identified: * Invoice 98441, recorded on 30 December 2025 for an amount of 18,420, related to goods shipped on 3 January 2026. Revenue was recognized prior to shipment. * Invoice 98457, recorded on 31 December 2025 for an amount of 9,870, did not have a signed proof of delivery available at the time of testing. Management indicated that the goods were shipped on 31 December 2025; however, no supporting documentation was provided to substantiate delivery as of year-end. No additional deviations were identified in the remaining sample. **Evaluation** The exception noted for invoice 98441 indicates premature revenue recognition, as the goods were shipped after year-end. The exception relating to invoice 98457 represents a lack of supporting evidence for delivery as of year-end. While management has indicated that shipment occurred on 31 December 2025, this has not been corroborated through inspection of delivery documentation. The two exceptions identified are limited in number and value relative to the sample size. Based on the information available, no pattern of systematic cut-off error was observed in the sample. The amounts involved are below performance materiality for revenue. However, one exception (invoice 98457) remains partially unsupported due to missing documentation. **Conclusion** Based on the procedures performed and evidence obtained, no matters came to our attention indicating that revenue is materially misstated with respect to cut-off as of 31 December 2025. **Open Items / Follow-up** * Obtain supporting documentation (e.g., signed proof of delivery or alternative evidence) for invoice 98457 to substantiate shipment and delivery as of 31 December 2025. **Cross-References** * Sales journal extract (27 January 2026) * Revenue cut-off sample selection sheet * Supporting documentation for sampled transactions --- **Information Missing for Finalization** * Total population size and value of revenue transactions around year-end. * Evidence supporting shipment/delivery for invoice 98457 (e.g., proof of delivery or alternative documentation). **Drafting Notes** * The conclusion was limited to “no matters came to our attention” due to one partially unsupported item. * Performance materiality was referenced qualitatively, as no specific threshold was provided in the input.