Harlem co.- audit response

It's to tell you that you are planning before the y/e - rather than after. If it was after the y/e you couldn't plan a y/e inventory count or an external confirmation of receivables because it would be too late! Audit planning is an ongoing process that will start during the year - that doesn't mean it's "an interim audit" because you're only planning - not doing any "fieldwork". If before the y/e there is still time to plan to perform ToCs in the 3 months before the y/e - etc.