Internal Control Audit Report Guide
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ScribdTranslationsInternal Control Audit Report Guide
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ScribdTranslationsTECHNICAL UNIVERSITY OF MACHALA
FACULTY OF BUSINESS SCIENCES
SCHOOL OF ACCOUNTING AND AUDITING
ACCOUNTING
FINANCIAL
Teacher: Ing. Jorge Calle Andrade
Integrantes:Priscilla Andrea Macharé Calderón
Cinthia Nataly Tacuri Malla
Course: 7th Level 'A' Accounting and Auditing
Diurnal
INTERNAL CONTROL REPORT
DEFINITION
The report is the result of the information, studies,
investigation and analysis carried out by the auditors during
the realization of the audit, which is standardized
express in writing your opinion about the area or activity
audited in relation to the set objectives, they point out the
weaknesses of internal control, if there have been any, and formula
relevant recommendations to eliminate the causes of
such deficiencies and establish corrective measures
adequate.
OBJECTIVITY OF THE REPORT
The comments and conclusions must be presented objectively and impartially.
presenting the reality found, without trying to save the responsibility of any
employee or staff member of the audited entity.
IMPORTANCE
The internal control report is very important because it provides to the
business management the way in which these are being carried out
controls, that is to say knowing if they are being complied with according to the policies and
established procedures to achieve compliance with its goals and objectives
programmed.
The Report through its observations, conclusions, and recommendations,
is the best way for organizations to understand how
the internal controls are operating. There may be times when,
due to a mistake in its preparation, the opportunity to make known to
the company really wants or needs to know in order to optimize controls,
despite the issuance of a bulky report, it may inadvertently
to lack support and appropriate basis; consequently its content
CONTACT BOILER INDUSTRY FINANCIAL AND FINANCING
it can be poor; with this we want to highlight the fact that
that the Report should communicate useful information to promote
decision making.
CONTENT OF THE REPORT
Internal control reviews provide management with assurance about the
effectiveness of their control environments.
Executive summary
Prepare an executive summary of one to two pages of the control review.
internal that includes the information of the following steps.
Provide a brief description of the revised critical area, including
relevant figures such as company size or department, the
income or the numbers of expenses and personnel.
Provide a summary of the identified weaknesses in internal control.
including an indication of the severity of each problem, and indicate
briefly how management intends to address the weak points.
Include a high-level opinion and/or conclusion about the control environment.
internal as required. The opinions and conclusions are derived from the
evaluation of the results of the internal control review and determine the
effectiveness of the control environment.
Sign and date the report. Both the main reviewer and/or their
The administrator must sign the internal control report.
Include a list of people who will be copied in the report and any
limitation on the distribution or use of the report. The management department,
senior relevant and executive management must be included in the list of
distribution. Distribution limitations may arise in case of fraud or
sensitive legal issues are identified during the review.
Detailed conclusions, recommendations, and corrective action plans
Proporcionar un resumen de cada debilidad de control identificada, utilizando
data and statistical summaries of the test data to demonstrate the
relevance of weakness.
Include a recommendation for correcting the deficiency in control if
it is required by the company's practice or requested by the management.
Include the corrective actions of management in the control report.
internal, if required by the company's guidelines or requested by the
address. Includes the documents of the commitment to corrective actions
document management to change and also allows for it to be done a
follow-up on the implementation of corrective actions.
Include a specific date for the implementation of the corrective plan, so
as the name of the person responsible for the action, to demonstrate the
accountability.
CONCLUSION
Once the auditor or auditors have carried out the necessary procedures to
verify the internal control implemented in the company, a report must be issued in
that the results obtained are detailed precisely and concisely, reflecting
reliability and accuracy of the information in a way that allows knowing the
weaknesses and strengths of the process.
Therefore, it is necessary for the auditor to be a judicious and impartial person so that the
conclusions and/or recommendations reflect the reality about internal controls
employees in the entity and thus make the appropriate decisions to correct them and
improve them as necessary.
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