Calculate the internal control audit

Question

Tell me that how we can calculate the internal control audit?

Answer 1

Compliance processes are tests designed to get reasonable guarantee that these internal controls on that audit reliance is to be placed are in result. The auditor can test the functioning of the controls and not the transactions. He can verify the exceptions and departure from suggested internal control. When there is authoritarian supervisory control the employees can’t digress from prescribed control processes. Compliance processes can be applied with the aid of audit sampling.

The samples can be selected from different categories of transaction in order to test the control characteristic. He can inspect proof through inspection of signature. He can apply re observation and performance techniques. He can ensure custodial control over assets. He can inspect the segregation of duties. He can go throughout supervisory controls. The auditor can test all the items comprised in the sample. The compliance processes can makes sure the auditor that internal control exists. The control is operating efficiently. The control has so operated during the period of intended trust.