the proper preparation of schedules to document the audit evidence accumulated the result found and the conclusions reached is an important part of the audit . the document should be prepared in sufficient detail to provide an experienced auditor with a clear understanding of work performed, the evidence obtained and its source and the conclusions reached.
write in the details the characteristic that should be possess in audit documentation ?
It’s simple in layman terms,
follow all standards prudently while reporting
if any problem arises, eg in stock audit, purchases not matching warehouse stock, sort it out with email or paper documents with dates and amounts.
If it is tax audit, clear payables and apply for reimbursement for reversals or reimbursement.
if is manufacturing process issue, do variance analysis, document the adverse impact with evidences, eg. prices of commodity high, low quality raw material etc.
So when an auditor makes a final report of company health, all receipts, sources of cash disbursements etc. must be well presented in the annexures. In the end- this is equal to a year end financial reporting/statements.
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