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Is there a difference between letter of representation sent at the end of the Audit and a management letter/report?
If you have questions to ask management during the Audit or want to highlight key control deficiencies are these sent in a letter of representation or management letter and are these points then contained again in the letter of representation at the end of the Audit?
Thanks
hi
if you want to highlight the deficiencies in the internal control system during the audit you will write a management letter which consist of covering letter (highlighting that why the management is getting this letter) and appendix ( contains explaination for management to understand ) . moreover it include implications along with certain recommendations to alleviate those deficiencies
written representation is obtained from management regarding the matters for which auditors are unable to obtain sufficient appropriate audit evidence and the knowlege is confined to management for example for provision recognized for a legal claim or warranty provisions
throughout the audit auditor will note the matters on which he would be requiring a written representation from management and at the finalization and review stage will send the written representation in their own words and will request the management to print that out on their headed paper ,review and then sign them off and the date of signature should be nearer to the date the audit report is signed but not after it
so in short management letter = during the audit ( isa 265 )
written representation on final stage before signing the audit report ( isa 580 )
hope that helps
Kind regards
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