Final Tableau Report

QS1 Part 1 Objective Questions

OQ1: What value would be recorded for total sales revenue on the income statement for 2020? Answer:  $5,103,763 is the total sales revenue generated for the year 2020. OQ2: Which month recorded the highest sales revenue? Answer: September 2022, with $ 477,291 sales revenue OQ3: What value would be recorded for total accounts receivable on the balance sheet for 2020, excluding the allowance for doubtful accounts? Answer: $4,030,533 is the total accounts receivables for the year 2020. OQ4: If management estimates about 5% sales to be written-off each month, which month exceeded the estimate? Answer: February & July 2020 OQ5: If management estimates about 3% of accounts receivables to be written off each month, what would be the adjustment amount for bad debts expense at the end of the year? Answer:  $ 120,916 OQ6: Which months accounts receivable balance is most likely to be written off? Answer: August 2020

QS1 Part 1 Analysis Questions

AQ1: Why do you think there are no Write-offs in November & December? Answer:  Because, the invoices were issued recently and there is still time in due dates of the invoices. AQ2: How could management estimate the write-offs for November & December? Answer: Management can take the average of write-off percentages for all the previous months or if we have the data from the last year, we can calculate the last year’s percentages according to the sales. AQ3: How could analytics provide additional insight into financial information beyond calculating balances? Answer: Analytics can helps gather the financial information needed to acquire a clear view of key performance indicators (KPI). For instance, revenue generated, net income, payroll costs. Analytics allows finance teams to scrutinize and comprehend vital metrics and detect fraud in revenue turnover.

QS1 Part 2 Objective Questions

OQ1: What are the total Sales Orders for November? Answer:  540 with Sales $ 416,563.

OQ2: Which day had the highest sales order amount in November? Answer: November 13th, 2020. Sales were $32,661 OQ3: Which Customer did the company sell the most in November? Answer: Thaddeus Patrick OQ4: How much did the company sell to that customer in November? Answer: $ 1,131 OQ5: What is the value of the oldest outstanding invoice in November? Answer: 1,196 OQ6: What is the age of the oldest outstanding invoice? Answer: 31 Days

OQ7: What is the current days sales outstanding KPI value for 2020? Answer: 30 Days

QS1 Part 2 Analysis Questions

AQ1: Why are some dates missing in the sales by date visualization? Answer:  It’s because the invoices were issued before the Sales. AQ2: Some of the accounts may have a negative age. Is this an error? What might explain this? Answer: No, this is good for business. They paid before the due date. AQ3: What does the days sales outstanding KPI tell managers in general terms? Answer: It tells about daily productivity of the sales.

AQ4: What risks are present if you take too long to collect accounts receivable? Answer: They will be converted to Bad debts.

AQ5: What are some analyses you could perform that would provide insight into how efficiently your company is collecting cash from customers? Are there any KPIs that would be appropriate here? Answer: Improving Order to Cash Ratio, Timely collection of debts etc.

AQ6: In your opinion, what would be an appropriate benchmark for the average number of days sales outstanding (i.e., Accounts receivables/Sales x 365)? Would Management want this number higher or lower? Answer: The lower percentage is better for business, but it varies for business to business. The Accounts Receivable to Sales Ratio is a business liquidity ratio that measures how much of a company's sales occur on credit. When a company has a larger percentage of its sales happening on a credit basis, it may run into short-term liquidity problems. 

QS1 Part 3 Objective Questions

OQ1: Which orders were created after shipment? Answer:  There were 3 orders which were shipped before the order creation. One was created 6 days and 2 were created 4 days after the shipment. OQ2: How many orders were shipped but not yet invoiced? Answer: Zero Orders

QS1 Part 3 Analysis Questions

AQ1: How do you know some orders were created after shipment? Answer:  The difference between ship days & Order days was negative. AQ2: Of the shipped orders without an invoice, which one is most problematic & why? Answer: Invoices serve as legally enforceable agreements between a business and its clients, as they provide documentation of services rendered and payment owed. Invoices also help businesses track their sales and manage their finances. AQ3: Why aren’t the other shipped orders without an invoice suspicious? Answer: 

AQ4: What are some additional analyses that you could perform to understand whether the processes are being followed or controls are functioning properly? Answer: Procedures the auditor performs to test operating effectiveness include a mix of inquiry of appropriate personnel, observation of the company's operations, inspection of relevant documentation, and re-performance of the control.

AQ5: Under what circumstances might a delivery take place before a sales order? Should this happen? Answer:  No, it should not happen. It might be possible if drawing the orders for personal use by business owners.

AQ6: What types of control would prevent the system from skipping a process or step? Answer: Internal Audits and preventive controls can help in prevention of missing a process.

QS1 Part 4 Analysis Questions

AQ1: What is the Monthly Average time for Orders Completion? Answer:  Monthly Average time ranges from 1.79 days to 1.99 days. In the month of December 2020, orders were completed most efficiently at an average of 1.79 days whereas in January 2020 the order completion time was highest i.e., 1.99 days. AQ2: Do your customers pay on time? Answer: If we take out the December & November Orders, customers took extra 26 days after invoice due date to make a payment. Including the numbers of November & December, customers take 18 days on average to make the payment after due date has passed. AQ3: What is the trend on monthly total sales? Answer: There is no proper trend on monthly figures, but the sales in the month of March $387 K is relatively lower than other months. Sales are ranging from $413K to $488 K for all other months. AQ4: What is the Average time for every phase in O2C process? Answer: For November, the OTC process took 26 days, whereas for rest of the months excluding December the average days were 58. Invoice to Cash is the phase which took a lot of time in all the phases. AQ5: How early can an invoice be converted into receipt? Answer: In December 2020, Customers Paid 10 days before the invoice due date, whereas in January 2020 customers paid 60 days after the invoice due date.