45.Consideration before the commencement of audit
1. He should have a contact with the client in writing. He should also have all the instructions and scope of audit in writing.
2. He should obtain a copy of partnership Deed. In case of no implied or expressed agreement between the partners regarding accounts, the provisions of Indian Partnership Act, 1932 relating to accounts will be applicable.
3. Before planning the audit programme, he should study the internal control system in operation.
4. He should study the system of accounting in operation and list of books maintained by the firm.
5. He should obtain list of members of staff, their duties, powers, and responsibilities.
6. He should make study of technicalities of the business of the firm to perform his job efficiently.
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Auditing Broad Questions