In this article we will study about Concept of Audit Work Paper. We will discuss the meaning of Audit work paper, its types an also we will discuss the advantages of Audit work paper.
Concept of Audit Work Paper
- Audit Work Paper are the documents prepare or obtained by the auditors and retain by them in connection with the audit.
- They are used to support Audit work in order to provide the assurance that the audit was completely as per the Auditing Standards.
- It having the connecting link between the client records and auditing records.
- They are permanently historical records
Types of Auditing Paper :
1). Permanent Audit File.
2). Current Audit File.
- Permanent Audit File ⇒ It included that data which is permanent in nature, for example : Article of incorporation, Memorandum of Association , Loan agreement , etc.
- Current Audit File ⇒ It included that file which contain all information about current period audit. For eg : Financial Statements, Trial balance, Letters, etc.
Advantages of Maintaining Audit Working Papers:
- Proper planning and performance ⇒ Audit working paper is that document which help organisation to maintain performance and proper planning.
- Supervision of audit work ⇒ These document are preapred by the auditor and help them to supervise work.
- Link between audit report and document ⇒ Audit working paper is that document which provides link between Audit report and documents submitted by the clients like Ledger,etc.