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1. Refer last year's audit report specially the qualifications made by the auditor if any.2. Focus on major expenses3. Check the necessary calculations pertaining to material items.4. It will be preferable to do detailed checking of Cash vouchers.5. See whether proper allocation of payments are done as per AS.6.obtain management representation where necessary and disclose the same in reports.7. Proceed with other necessary steps based on your observation.8. Prepare reports.
Stages of audit procedures Stages of audit procedures are summarized as follows:A. Understanding the nature of the client in terms of the legal entity and type of activity and organizational structure to him and regulations and accounting in the light of this information to the auditor to accept the task of auditing process or apologize for that B. Understanding of internal control systems components available at the client include understanding of internal control systems environment (the accounting systems used mechanism), and procedures for internal control systems and know how to put into practice and that through it determines the extent to which the client accounts to sift through, if it turns out his lack of ability to sift it withdraw from the task
C. Assess the degree of risk in the internal control systems, if it was agreed that the degree of risk is high in the internal control automatically systems reveal the physical things that showed what they are not in the final data audit risk is high or when the degree of risk in low-audit must understand the tuning systems and determine matters that reinforce the conviction because the auditor degree of risk is substandard. D. Empirical scrutiny: auditor uses his assessment of the systems of internal control and audit risk his degree in determining the nature of the audit, the timing of the audit and the time required for the audit and the size of the sample work.
E. Evaluating the results of the auditAfter the auditor in the audit, which decided to do is assess the results of the audit and the conclusions that came out in order to determine the possibility of base provides work reliably in to express his opinion on the final calculations of data. And. Auditor's Report:Shows the scope of the audit work done by the auditor shows conclusions regarding the fairness of the final calculation of data for each of the financial position and results of operations established under scrutiny auditor's report.
