Proper audit documentation Audit documentation serves as the primary support of an audit. Give at least six examples of the components of proper working paper documentation

Answer 1

Audit documentation serves as the primary evidence in support of the auditor's opinion. Well prepared documentation should include:
? a heading that includes the name of the audit client, an explanatory title, and the balance sheet date.
? the initials or electronic signature of the auditor performing the audit test and the date the test was completed.
? the initials or electronic signature of the senior, manager, or partner who reviewed the working papers and the date the review was completed.
? a description of the nature of the test performed and the findings.
? an assessment of whether the test indicates the possibility of material misstatement in the account.
? manual or electronic tick marks and a legend indicating the nature of the work performed by the auditor.
? A section that identifies all significant issues that arose during the audit and how they were resolved
? a cross reference or electronic link to related working papers.
Many of these components are electronic in nature and are resident in a paperless audit software and storage combination. Nonetheless, such components remain vital in proper documentation of audit testing and conclusions.