The typical audit is far too detailed to be completed without checklists for carrying out the audit steps. Checklists also serve as documentation that audit work is complete. Processing audit checklists involves a supervisory review that covers a number of items. These items include ensuring the checklists are customized for particular audits and ensuring that auditors have followed the checklist.
Instructions
1. Select audit checklists for each part of the audit. Customize the checklists for the particular audit engagement. Submit the prepared audit checklists for supervisory review.
2. Conduct a supervisory review of the preparatory work for the audit. Make sure the proper checklists have been selected. Use checklists that are properly customized for the particular audit. The audit manager may add items to the checklist or take items away that are not needed. The supervisory review concludes when the audit manager signs the audit plan, which includes the audit checklists.
3. Supervise auditors to complete the audit checklists. Have the auditor interview appropriate people at the organization being audited to obtain answers to questions on the checklists. Verify information by reviewing accounting records or observing procedures and gathering documentation that supports the answers to the checklist questions. The auditor uses this information to draw conclusions and report findings in the audit report.
4. Verify the work is satisfactory and the conclusions and findings are supported. The audit manager may have questions about the work or determine that more work is needed. Sign off on the completed checklists, if satisfied with the auditor's work.
5. Follow up on any questions or further work deemed necessary by the audit manager. Once the auditor is done with the follow up, the audit manager finalizes his or her review and signs off on the completed checklists, if satisfied. The audit report is then drafted from the conclusions and findings documented by the checklists.
Tags: audit manager, supervisory review, audit checklists, audit checklists, audit report