Monograph - AuditNet Guide to Audit Working Papers
AuditNet Guide to Audit Working Papers
DEFINING THE NECESSARY AND NATURE OF AUDIT WORKING PAPERS
Working papers are the direct end product of the internal audit staff’s work and effort. The working papers demonstrate what was done – what was found – and what was confirmed.
Internal audit working papers provide various levels of usefulness:A. During the audit adequately prepared workpapers provide
1. Guidance as to the objective of the examination
2. Guidance as to the sequence of steps and development of
3. Documentation that the office being evaluated has conformed to
4. Documentation that accounting policies and procedures are being
conform with, and
5. Documentation that the company auditor’s office has performed
the duties of the office as required by existing state statutes.
B. After the audit is completed the workpapers provide1. Evidence that support the findings as reported
2. Evidence that the internal audit was performed following
established and accepted methodology
3. Evidence concerning the need to conform to the state statutes
4. Evidence which can be relied on by the external auditors, and
5. In the event the auditee finds himself or herself in court trying to
defend the findings, the workpapers provide an excellent defense
and support for the reports’ findings.