Preliminary Survey

1
Preliminary Survey

• Opening conference
• Agenda
• Tone teamwork
• On-site tour--MBWA
• Document study
• BPO analysisOBrien 7
• Analytical procedures inresponse to tests
  definedin planning stage
• Ratios
• Objectives

KTT
2
OBrien 7

• Mission statement
• Objectives
• Resources
• Restrictions
• Processes
• Organization chart
• Key management biographies

3
Internal Control Review

• Description
• Evaluation
• Matrix
• Objectives
• Results
• Risks
• Mitigating Controls
• Evaluation
• Reassessment--Go or no go

4
Evidence Support

• Auditors collect information
• Evidence should be relevant, competent
  sufficient
• Methodology determined in advance
• Supervision should be employed
• Documentation should be included in working papers

5
Attributes of Evidence

• Relevant consistent with objectives
• Reliable Competent
• Sufficient convincing

6
Procedures Resulting in Evidence

• Interviews
• Recomputation
• Detailed testing
• Observation
• Scanning
• Statistical sampling
• Confirmation
• Analytical procedures

7
Expanded Testing Purposes

• Detailed review
• Compliance testing
• System or performance evaluation

8
Expanded Testing Criteria

• Directly related to the risk examined
• Efficient in design
• Feasible with respect to the auditors abilities

9
Risk-Control Matrix

• Results (Identified weakness)
• Objective (S-C-O-R-E relationship
• Risk
• Mitigating control
• Evaluation

10
Audit Finding Components

• Condition
• Criteria/Standard
• Cause
• Effect Relate to 5 Control Objs. (S-C-O-R-E)
• Recommendation

11
Summary(Preliminary Survey Findings)

• See Summary on pps. 13-43 thru 13-46