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AUDIT, Audit processes - Coggle Diagram
AUDIT
Techniques
General survey
Appreciation of the physiognomy or general characteristics of the company, its financial statements, items or significant or extraordinary important items.
Analysis
Classification and grouping of the different individual elements that make up an account or a specific item
Inspection
Physical examination of tangible assets or documents, in order to verify the existence of an asset or a transaction registered or presented in the Financial Statements
Confirmation
Obtaining a written communication from a person independent of the company examined and who is able to know the nature of the operations.
Investigation
Obtaining information, data and comments from the officials and employees of the company itself.
Steps of an audit
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Function
Systematically investigate the accounting in order to verify the reasonableness of such information.
Profits
Give the user of Financial Statements, shareholders, banks, suppliers, the confidence that the information contained in them has been validated, which allows efficient decision-making.
Scope
Issue an opinion on the reasonableness of the figures shown or give recommendations regarding internal control.
Internal control
Work plan adopted within a company to safeguard its assets and ensure the proper record of business transactions
Classification
External audit
Systematic and detailed critical examination of an information system of an economic unit carried out by a Public Accountant with no working relationship with it.
objective
Find out the reasonableness, integrity and authenticity of the financial statements, files, documents and all that information produced by the organization systems.
Internal audit
Critical, systematic and detailed examination of an information system of an economic unit carried out by a professional with working ties with it.
Collection, accumulation and evaluation of evidence on information of an entity to determine and report the degree of compliance between the information and the established criteria.
Audit processes
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Process roles
It is where the auditor's work is recorded and constitutes the material proof of the work carried out
They are classified in
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For its content:
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Details or descriptive certificates,
Summary or summary records,
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Process documents
They are a set of certificates and reliable documents that contain data and information obtained by the auditor in his examination.
They may be
Permanent:
They are intended to collect data of a historical or continuous nature related to this audit.
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It is the subsequent, professional, objective and systematic examination of all or part of the operations or activities of an entity, project, program or investment.