Transaction cycle

This refers to the stages of activity involved in carrying out a financial transaction.

Transaction cycles can be used for all types of finance transaction; for example the revenue cycle includes making and documenting a sale, accounts receivable activities, cash and banking activities, financial reporting and accounting. Reviewing end to end transaction cycles enables auditors to plan and develop audit sampling which reflects the key risks within the cycle.

The transaction cycle is a term normally found in risk and control..

Explore our learning zone to discover more