Introduction
Auditing is an important part of a business’s financial system. It is necessary to review and monitor the financial information of the business in order to ensure accuracy and compliance with applicable laws and regulations. This audit work paper is designed to provide an objective assessment of the operations and financial condition of Organization XYZ. The scope of the audit includes the review of financial statement accounts and documentations related to the company’s acquisition of assets and liabilities, accounting procedures and internal controls, and compliance with applicable laws and regulations.
Description
Organization XYZ is a privately-owned corporation which operates in the business of technology consulting. The company was founded in 2008 and is based in the city of Seattle, Washington. As of the date of this audit, the company has 25 employees.
Objective
The objective of this audit is to determine the accuracy, completeness, and reliability of the financial statements and the systems and processes used to prepare them. This audit will focus on the accounts receivable, accounts payable, and cash management areas. Specifically, this work paper will examine the accuracy of account balances, the adequacy of internal controls, and compliance with applicable laws and regulations.
Audit Procedures
1. Review and analyze organization’s financial statements.
2. Review and evaluate the internal controls related to accounts receivable, accounts payable, and cash management.
3. Perform tests of accounting transactions and account balances.
4. Analyze data and documents related to the company’s acquisition of assets and liabilities.
5. Review and evaluate the compliance with applicable laws and regulations.
6. Review and analyze the organization’s accounting procedures and internal controls.
7. Document audit results.
Conclusion
This audit has been conducted in accordance with Generally Accepted Auditing Standards and the applicable requirements for auditing financial statements. The results of the audit indicated that the financial statements were prepared in accordance with Generally Accepted Accounting Principles, and the internal controls related to accounts receivable, accounts payable, and cash management provided reasonable assurance that the accounts balances were properly reflected in the financial statements. As such, the audit team is of the opinion that the financial statements of Organization XYZ for the period ended December 31, 2019 are presented fairly in all material respects.
