Internal Audit
Audits & Reviews
Purpose of an Audit
The purpose of an audit includes gaining an understanding of each area's business operation, evaluating the adequacy of internal control structure from control activity, identifying risk exposure area and providing feedback for management.
The Audit Process
Planning:
- Understanding auditee department functions
- Determine audit scope and approach
- Conduct pre-audit meetings
Fieldwork/Testing:
- Conduct interviews
- Evaluate records
- Assess and observe procedures
- Document test results
- Conduct closing meeting
Reporting
- Prepare and submit draft audit report
- Obtain and discuss auditee comments
- Submit final report
Follow-up
- Perform follow-ups on high risk audit findings and/or reoccurring audit findings
- Communicate results
Types of Internal Audits
Financial Audit: Financial audit involves a focus on financial reporting that can affect the institution's financial stability. These audits generally focus on accounting controls present in the general ledger systems.
Operational Audit: Operational audit focus on review and assessment of the internal process on the College's major functions: academic programs, auxiliary services, athletics, facilities and sponsored research.
Compliance Audit: Compliance audit review the level of compliance with internal policies, procedures and external applicable laws and regulations.
Technological Audit: This type of audit will review risks to computer applications and information technology infrastructure.
Strategic Audit: Strategic audit focus on long-term risks associated with the College's goals and objectives.
Purpose of an Audit
The purpose of an audit includes gaining an understanding of each area's business operation, evaluating the adequacy of internal control structure from control activity, identifying risk exposure area and providing feedback for management..