Does an audit programme just set out the steps you would follow in order to obtain evidence, or whatever the question may be??
eg obtain evidence of ….
Discuss with management ….
thanks for your help
Yes that is true. But But But call it Audit Plan.
An audit programme is a very detailed list of instructions to the audit team about how evidence should be obtained. For example, looking at the audit of cash, the following might be found as part of a typical audit programme:
Test a bank reconciliation as follows
a) test the mathematical accuracy of the reconciliation;
b) trace book balances on the client’s bank reconciliation to the cash book;
c) trace bank balances on the client’s bank reconciliation to the bank statement;
d) test reconciling items on the bank reconciliation by performing the following:
i) trace outstanding items listed on the bank reconciliation to the subsequent month’s bank statement and for those not traced, trace to the cash disbursements records for the period prior to the balance sheet date;
ii) trace uncredited lodgments listed on the bank reconciliation to the subsequent month’s bank statement and for those not traced, trace to the cash receipts records for the period prior to the balance sheet date;
iii) obtain explanation for large, unusual reconciling items and trace to supporting documentation and/or entries in the cash records, as appropriate;
iv) review the date the above items cleared the bank or were recorded in the client’s books to ensure appropriate recording period. Trace to supporting documentation as necessary;
v) investigate items such as, long outstanding items, dishonored checks and significant adjustments in the subsequent month, and record adjustments as necessary.
I believe (and hope) I’m a more interesting person than my reply might suggest.
Lol haha, oh yesh maybe that is true, but we will come to know about that in our CHAT, when we have it. lol
Thanx abunch, hw can i be wel versed with such procedures, and present them like you
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