Procedures Following Audit Report Release Date

• Omitted procedures.

• Communication with those charged with governance.

• Management letters.

Omitted Procedures

Perform procedures if:

• Omitted procedures are important.

• Individuals are currently relying on financial statements and auditors’ reports.

If previous opinion can be supported, no further action necessary.

• If previous opinion cannot be supported.

• Withdraw the original report.

• Issue revised reports.

• Inform persons currently relying on the financial statements.

Communication with Individuals Charged with Governance – Internal Controls

Professional standards require auditors to communicate significant internal control deficiencies and material weaknesses to client and those charged with governance in writing.

For public companies.

• Communication must be made prior to audit report date.

For non-public companies.

• Communication should be made no later than 60 days following audit report release date.

Communication with Individuals Charged with Governance – Other matters

• Auditors’ responsibility under G A A S.

• Overview of planned scope and timing of audit.

• Judgment about quality of accounting policies, estimates, and disclosures.

• Significant difficulties encountered during audit.

• Uncorrected misstatements.

• Disagreements with management.

• Material, corrected misstatements.

• Representations requested from management.

• Management consultations with other auditors.

• Significant issues discussed with management.

• Auditor’s understanding of significant unusual transactions.

• Other findings or issues significant and relevant to those charged with governance.

Management Letters

• Not required under G A A S.

• Are prepared as a by-product of procedures performed in audit.

• Provide recommendations to client for improving effectiveness and efficiency of operations.

• Delivered by auditors to client following audit engagement.

Summary of Audit Communications