INTERNAL AUDIT TOOLS

The questionnaire and checklists represent sets of questions.

the addressed audited parties can be grouped as follows:
1. Acknowledgment Questionnaire (CLC) – includes questions related to
the socio-economic environment of the entity, internal organization, the way of functioning of
to this one.
2. Checklist - is used for establishing
the conditions/criteria that each field must meet
auditability. It includes a set of instructions regarding the defined objectives,
responsibilities and methods, financial resources, information techniques,
existing human resources.

Example:
CHECKLIST
If we consider the audit of labor remuneration activities, a possible model of
checklist that the internal auditor would use to determine what the conditions are that
each auditable area must meet, starting from the defined objectives, could be:

AUDIT ACTIVITY Of you Note.

Objective No.1
The personnel files are correct and complete.
1. Check if the forms for new employees are completed immediately.
the hiring process.
2. Verify the supervision of the forms completed by the new employees, by
a human resources manager.
3. Verify the entry of information regarding new employees in the module
human resources informatics, by authorized personnel.
4. Verify the connection of the human resources module with the one
of salary
5. Check that the files of each new employee include the entire
documentation provided (information regarding education - completed schools,
professional experience, other personal information, as well as documents in
basis on which the employee would benefit from certain deductions in tax payments
[Link] if new employees are given the opportunity to verify data.
personal laws introduced in the human resources module.
[Link] if current employees have the possibility that, at least at the beginning of
to confirm the validity of the existing personal information in the module of
human resources.
8. Check the use of standard forms for the proposal.
salary adjustments.
9. Verify the approval and supervision of salary changes by
management.
[Link] if anyone other than an authorized user could

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introduce salary changes in the human resources and payroll system.
11. Check for the existence of a standard form through which current employees would
they can announce the changes that have occurred in their file (changes of
civil status, address, family, or professional training.
Objective no.2
Access to employee files is secured and accessible only to authorized individuals.
authorized.
1. Check the security of the space where the files are archived.
employees, as well as whether access is allowed only to certain individuals
authorize.
[Link] if the employee profiles in the payroll modules and
human resources are accessible only to authorized users.
3. Check if the data regarding employee salaries is
accessible only to the authorized supervisor.
Objective No. 3
The work schedule of each employee is correctly reported and processed.
1. Check the use of attendance records for salary determination, through which
each employee reports the work schedule on concrete activities
unfolded.
2. Check the method of creating these attendance records, manual or
electronics.
3. Check if there are control keys so that each employee can
use these notes for reporting the activity carried out.
4. Check the time when employees who have not been contacted are reached.
completed the timesheet within the established deadline.

[Link] the validation method and determine potential errors in

the completion of these scores.
6. Verify the agreement between the hours actually worked and
calculated salaries.

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 3. The internal control questionnaire - It is a method of description and analysis of
of the controls, contains questions about the different objectives and components of
control. It guides internal auditors in the activity of objective identification of
dysfunctions and their real causes. In practice, the auditor will increasingly use
frequently the internal control questionnaire, having sufficient freedom for each auditor,
to manifest their initiative spirit and to stimulate research. All
the questions in the control questionnaire will be open, structured in such a way that they
answer some fundamental questions: Who acts? What does the object do?
{"activity":"activity?","where":"Where is the activity carried out?","when":"When is the activity carried out?","how":"How is it carried out?"}
Does it carry out the activity?

Example
We revisit the previous example (the audit of recruitment and remuneration activities of the workforce) and
Starting from the five fundamental questions, we propose a control questionnaire model.
intern, which allows us to detail this function into elementary tasks, from which we can, subsequently,
deduce the key control points, as well as whether there is an effective and efficient internal control over
operations carried out.
Internal control questionnaire model
[Link]?
He is the manager responsible for the recruitment process of new employees, but also
of the salary of current employees?
Who are the people involved in the recruitment and remuneration process of the workforce?
Who makes the selection of candidates for a position, in order to participate in the competition?
Who makes the final decision regarding the candidate who will be declared the winner?
Who actually performs the payroll calculation process?
Who authorizes the overtime worked by employees?
Who verifies the correctness of the timesheet completion with the activities carried out by each one.
employee in part?
Who sets the salary levels?
Who approves and supervises changes in workforce remuneration?
Who has access to employee files?
Who is authorized to hire and fire employees?
Who verifies the payrolls after they have been processed?
Who corrects any errors found in the salary processing?
Who performs the accounting reconciliation of the expenses with the salaries resulting from
the payroll module with what is reflected in the balance?
Who performs the reconciliation of expenses with contributions, taxes, and duties
related to salaries, between payroll and the balance sheet?
B. CE? (CARE ?)
What is the average number of errors found after processing salaries per month?
What are the components of the salary?
What is the frequency of new hires as well as layoffs, on average, per month?
What types of leave can employees benefit from?
Ce măsuri sunt stabilite pentru nerespectarea regulilor şi neîndeplinirea sarcinilor de
to each employee individually?
C. WHERE?
Where are the files of each employee archived?
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Where are the data from the attendance records of each employee concerning their activity centralized?
submitted?
Where are the data of all employees recorded?
Where does the actual salary calculation process take place?
Where are the applications submitted by potential employees, willing to be part
from the team of the respective entity?
D. WHEN?
When are the salary payment periods scheduled (weekly, biweekly, or
lunar)?
When is the accounting reconciliation of expenses with the salaries resulting from
the payroll module, with what is reflected in the balance?
When is the reconciliation of expenses with contributions and related taxes performed
salaries, between payroll and the balance sheet?
When changes are scheduled, according to collective labor agreements, and
salary indexing?
E. HOW?
How is each candidate for a position within the organization tested?
How is each new employee initiated? Do they participate in any training and knowledge courses?
the environment of the organization in which it will operate?

How is the activity carried out by each employee reported?

How is the security of the area where each employee's files are archived ensured?
How is the control of each activity ensured that involves processing and calculation
salaries?
How are the vacation periods that employees can benefit from established?
How is the vacation taken by each employee monitored?
How to verify the accuracy of the attendance record with the activities carried out by each individual
employee?

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 4. Task analysis grid: the internal auditor will design a grid for each
process or important function, which should include the separation of all tasks that
assumes the respective process or function, and for each of these tasks,
the auditor will seek to find out who performed the respective task. The general principles, according to
the separation of tasks is carried out to avoid errors (unintentional or
(1) execution of the task or activity (EX); (2) approval and supervision
transactions (AS); (3) financial accounting of transactions (ÎCF); (4)
the control or verification of activities and transactions carried out (C).

Example
We will exemplify the task analysis grid starting from the example of the function audit of
remuneration of labor. In the initial stage, we will separate this function into tasks.
elementary, fitting them into one of the four categories:

The elementary tasks of the remuneration function of labor

(EX) (AS) (ICF) (C)
of work
Preparation of timesheets with the hours of work completed by each x
employee
Calculation of overtime x
Approval of the time sheet with normal working hours and those x
supplementary
Approval of salary changes x
Actualizarea fişierelor angajaţilor cu modificările de salarii x
Verification of the update with salary changes X
Salary calculation based on attendance record x
Calculation of personal deductions that employees benefit from x
The calculation of contributions, taxes, and related duties x
salaries
Verification of salary calculations and contributions, taxes X
and applicable taxes
The accounting entry for payroll expenses x
The accounting record of expenses related to taxes, fees and x
contributions related to salaries
Preparation and listing of payroll x
Check payment statements X
Signing and approving payment statements x
Preparation of payroll payment orders x
Preparation of payment orders for contributions, taxes and
x
of the taxes
Approval and supervision of salary payment orders x
Approval and supervision of payment orders for contributions and
x
of the taxes
Settlement of salary payments x
Verification of salary settlements x
The accounting reconciliation between the payment statements and the balance
x
accountant
Correction of errors x
Verification of error correction x