About Audits and Reviews

The Audit Process

In general, a typical audit includes the following sequential steps:

  • Scheduling an opening conference to discuss the audit objectives, timing, and report format and distribution.
  • Assessing the soundness of the internal controls or business systems and operations.
  • Testing the internal controls to ensure proper operation.
  • Discussing with management all preliminary observations.
  • Discussing with management the draft audit report and their responses, if available, prior to release of the final audit report.
  • Following up on critical issues raised in audit reports to determine if they have been successfully resolved.