An audit focuses on the fair presentation of the assets, liabilities and net assets of the organization as of a date agreed upon with our client (most commonly at the organization’s fiscal year end). It includes the verification of the organization’s assets and liabilities with outside third party documentation. A audit includes obtaining an understanding of the internal control, assessing control risk, tests of accounting records and responses to inquiries by obtaining corroborating evidential matter, and certain other procedures. It includes a review and tests of internal controls and operating procedures, analytical reviews of revenue and expense variations, and tests of accruals of expenses and revenues. It requires confirmation of cash, investments, and secured debts; and a representation letter from management.
In addition to an audit report on the financial statements of the organization, we issue a comprehensive memorandum on internal controls and operating procedure to identify weaknesses in internal controls and offer recommendations for strengthening those controls. Our audits include a limited review of our client’s operations for compliance with Internal Revenue regulations. Issues such as intermediate sanctions, inurement, payroll tax compliance and documentation adequacy are addressed and reported to the client. We also provide you with the benefit of our experience with other organizations by making recommendations to achieve operating efficiencies.