12h 12min, may 7, 2026 y - Bericap Key WP Review

Description:

Manufacture "closures" i.e. bottle tops
Hard close on Sep numbers (9+3)
PM local £420k auditing to local

Sales TOC - no issues in testing, but no screenshot of system limitation due to sales order/despatch
Sales cut-off - signed delivery notes by customer, no issues
Journals testing - no major issues, should used prior year charts to compare
Fixed assets:
-Calibration certificates received
-AUC moulds built by contractor
-Physical verification
-AUC transfer need better approach documentation
Inventories
-consistent absorption policy tested immaterial variance
-stocktake no issues, no calibration issues this year
-stock cost reliance on controls
-provisions are based on slow-moving
Plastic tax need better documentation
Receivables
-poor results from circs; alternative procedures
-media coverage on large customers
Intercompany agreed
Supplier statements no issues
GRNI is tidy
No DB scheme, hedging, share options
Forward contracts & stat disclosure to follow-up
MLP
-to put on CW
SUAD £17k




PY file review:

AR
PPE cost +£5m to £70m
- transfer of AUC to PPE +£8m
- AUC -£4m existence issue
Inventories -£500k to £1.13m
- Resin -£200k to £696k
- calibration issues on silo 4,8,9 £122k extrapolated error and MLP
Trade receivables -£500k to £9.9m
- better collection
- after date cash looks reasonable
- invoice factoring
Deferred tax liability +£1.5m to £4m
- additions to PPE
Trade payables -£3.2m to £4.4m
- due to timing; corroborated to top 10 suppliers o/s
Other payables -£1.6m to £2.3m
- £2.5m relates to invoice factoring; agreed to confirmation
- other contributors are corp tax accrual, VAT and manual accruals, GR clearing account
Sales before Plastic tax adjustment +£1.6m to £50.5m
- plastic tax adj is £2.6m to gross up sales/COS
Salaries +£300k to £8.4m
- inflationary increases 4%
GP% 29% vs 26%
- falling energy and resin prices
Other operating income £900k
- fa disposal proceeds, scrap stock and 'Group Other Sales' ????
PBT £6.7m PY 4.85m

Audit
Sales & purchases TOC
Screen shots to test SI can not be raised
Sales TOC satisfactory 6 open items
Not tested to stock out
No reference to incoterms or line item references
Purchases walkthrough - no VAT consideration
Purchases TOC - no VAT consideration
Sales cut-off missing ????
Purchases cut-off; 3 queries/open items
Journals
- volume of transactions; follow up required
- bank vs prepayment; need to check advance to which employee??
- bank vs P&L; potential MLP for direct travel expense booking? follow thorough to supporting

Added to timeline:

Date: