Cut-off testing that survives a parent deadline

Year-end and interim reviews fail more often on cut-off than on exotic valuations. Goods leave the warehouse on 30 March; the invoice posts on 2 April; the parent wants the pack on 8 April. The reviewer’s job is to make that gap visible before the board signs.

Start with shipping evidence, not the sales ledger

Ask for bills of lading, delivery notes, and warehouse despatch logs for the five business days either side of period end. Match them to invoices — not the other way around. Ledgers are tidy; docks are truthful.

Sample both directions

Test revenue that might belong in the next period and purchases that might belong in this one. A one-sided sample flatters whichever side management prefers.

Document the exception early

If a material shipment sits on the wrong side of the date, name the customer, amount, and evidence in the findings memo while fieldwork is open. Parent controllers can still adjust; they cannot if the comment arrives after consolidation.

Agree the limitation if evidence is late

When shipping files arrive after the report date is forced by a lender, write the limitation plainly. A clean letter with a silent gap helps no one who later reads the working papers.