Usually every auditor maintains an audit book. This is because it is not possible for an auditor to remember every thing relating to auditing. During audit work, an auditor may come across many difficulties which he notes down in an audit note book maintained for this purpose. He refers to this audit note book whenever he needs it. Accountants differ about the advantages to be derived from the use of audit not books. In a properly organized office, it is essential that the principles should be perfectly familiar with the work performed on each audit so that in case of the clerk in charge being away or leaving the organization, no difficulty should be experienced in carrying out that particular work.
Contents of an Audit Note Book:- An audit note book contains the followings:-
- List of the books of accounts maintained by the client.
- The technical terms used in the business.
- The mistakes and frauds detected.
- Notes and queries which might be required at a subsequent audit.
- The point which should be incorporated in the audit report.
- Names of the principal officers and their powers and responsibilities.
- Totals and balances of important accounts may also be taken note of.
- The points which require further explanation, information etc.
- If any voucher are missing and the duplicates of which have to be obtained.
- Accounting method followed in the business.
- Date of commencement and the completion of audit.
- Any other matter required to be discussed with the senior or the auditor.
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