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Explain the following controlling procedures in a well planned audit: • Direction and supervision of work • Review and co-coordination of work • Quality controls

Explain the following controlling procedures in a well planned audit:
• Direction and supervision of work
• Review and co-coordination of work
• Quality controls

Answers

Wilfred
i. Direction and supervision
Direction involves giving audit assistants to whom work is delegated appropriate instructions/ directions. This involves informing assistants of their responsibilities and the objectives of
the procedures then are to perform. This also involves informing them of matters such as the
nature of the entity’s business and possible accounting and auditing problems that may affect
the nature, liming and extent of audit procedures to be performed. Supervision involves;
Monitoring the progress of the audit to consider whether assistants have the necessary
skills and competence to carry out the assigned work.
Establish whether assistants understand audit instructions.
Ensure work is being carried out in accordance with the overall audit plan and program.
To identify and address any significant accounting and auditing questions raised during the audit.
Resolve any differences of professional judgment between personnel.

ii. Review and coordination of work.
This involves a review of audit work performed by each staff member by a person of equal or higher competence to consider whether
The audit work has been performed in accordance with the audit program.
The work performed and results obtained have been adequately documented.
All significant audit matters have been resolved or reflected in audit conclusions.
The objectives of the audit have been achieved.
The conclusions expressed are consistent with the results of the work performed and support
the audit opinion.

iii. Quality controls
Quality controls refer to the various policies and procedures put in place by the auditor to ensure
that all audits conducted by the firm meet the quality standards set by the accounting profession
and firm’s own quality standards.
Wilfykil answered the question on April 12, 2019 at 08:46

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