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    Six-Step Audit Process

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    SahibzadaAtiqRehmanShah
    The document outlines the six steps in the audit process: 1) Requesting documents from the organization being audited. 2) Preparing an audit plan after reviewing the requested documents. 3) Scheduling an open meeting to present the audit scope to senior management. 4) Conducting fieldwork by interviewing staff and reviewing procedures. 5) Drafting a report detailing any findings, errors, or policy noncompliance. 6) Setting up a closing meeting to discuss the report and management's responses to any issues.

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    Six-Step Audit Process

    Uploaded by

    SahibzadaAtiqRehmanShah
    168 views2 pages
    The document outlines the six steps in the audit process: 1) Requesting documents from the organization being audited. 2) Preparing an audit plan after reviewing the requested documents. 3) Scheduling an open meeting to present the audit scope to senior management. 4) Conducting fieldwork by interviewing staff and reviewing procedures. 5) Drafting a report detailing any findings, errors, or policy noncompliance. 6) Setting up a closing meeting to discuss the report and management's responses to any issues.

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    The detailed sex step process of audit- A general understanding model

    Original Title

    Six-step Audit Process

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    The document outlines the six steps in the audit process: 1) Requesting documents from the organization being audited. 2) Preparing an audit plan after reviewing the requested documents. 3) Scheduling an open meeting to present the audit scope to senior management. 4) Conducting fieldwork by interviewing staff and reviewing procedures. 5) Drafting a report detailing any findings, errors, or policy noncompliance. 6) Setting up a closing meeting to discuss the report and management's responses to any issues.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    168 views2 pages

    Six-Step Audit Process

    Uploaded by

    SahibzadaAtiqRehmanShah
    The document outlines the six steps in the audit process: 1) Requesting documents from the organization being audited. 2) Preparing an audit plan after reviewing the requested documents. 3) Scheduling an open meeting to present the audit scope to senior management. 4) Conducting fieldwork by interviewing staff and reviewing procedures. 5) Drafting a report detailing any findings, errors, or policy noncompliance. 6) Setting up a closing meeting to discuss the report and management's responses to any issues.

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    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
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    of 2

    SIX-STEP AUDIT PROCESS

    An audit is a formal check of financial accounts of an individual, business or organization. An


    internal audit is conducted by members of the same organization or business, and an external
    audit may be conducted by a regulatory agency or governmental agency. There are six
    specific steps in the audit process that should be followed to ensure a successful audit.

    Requesting Documents
    After notifying the organization of the upcoming audit, the auditor typically requests
    documents listed on an audit preliminary checklist. These documents may include a copy of
    the previous audit report, original bank statements, receipts and ledgers. In addition, the
    auditor may request organizational charts, along with copies of board and committee minutes
    and copies of bylaws and standing rules.

    Preparing an Audit Plan


    The auditor looks over the information contained in the documents and plans out how the
    audit will be conducted. A risk workshop may be conducted to identify possible problems. An
    audit plan is then drafted.

    Scheduling an Open Meeting


    Senior management and key administrative staff are then invited to an open meeting during
    which the scope of the audit is presented by the auditor. A time frame for the audit is
    determined, and any timing issues such as scheduled vacations are discussed and handled.
    Department heads may be asked to inform staff of possible interviews with the auditor.

    Conducting Fieldwork
    The auditor takes information gathered from the open meeting and uses it to finalize the audit
    plan. Fieldwork is then conducted by speaking to staff members and reviewing procedures
    and processes. The auditor tests for compliance with policies and procedures. Internal
    controls are evaluated to make sure they're adequate. The auditor may discuss problems as
    they arise to give the organization an opportunity to respond.

    Drafting a Report
    The auditor prepares a report detailing the findings of the audit. Included in the report are
    mathematical errors, posting problems, payments authorized but not paid and other
    discrepancies; other audit concerns are also listed. The auditor then writes up a commentary
    describing the findings of the audit and recommended solutions to any problems.

    Setting Up a Closing Meeting


    The auditor solicits a response from management that indicates whether it agrees or disagrees
    with problems in the report, a description of management's action plan to address the problem
    and a projected completion date. At the closing meeting, all parties involved discuss the
    report and management responses. If there are any remaining issues, they're resolved at this
    point.

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