Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
PRELIMINARY PLANNING PROCEDURES UNDERTAKEN
The plan was prepared after completion of the following planning procedures:
1. Review of prior year audit file and client correspondence file.
2. Attendance by engagement partner and audit manager at planning meeting with the Directors of the client
company.
3. Updating of the “UNDERSTANDING THE COMPANY AND ITS ENVIRONMENT, INCLUDING ITS INTERNAL
CONTROL” memorandum and a meeting of entire engagement team for assignment briefing and discussion in
relation to the assignment.
4. Completion of risk assessment procedures documented as part of the B section of the audit programme.
ENGAGEMENT REQUIREMENTS
In accordance with the requirements of company law we are to undertake a statutory audit of the
financial statements of the company. The audit will be conducted in accordance with International
Standards on Auditing (UK and Ireland).
KEY CONTACTS IN COMPANY
NAME
TOM JOHNSON
MARY PHELAN
RESPONSIBILITY
DIRECTOR AND BOOKKEEPER.
DIRECTOR
AUDIT RISK ASSESSMENT PROCEDURES UNDERTAKEN



Analytical Review.
Discussion and enquiries with the directors.
Considering the risk factors set out in Section B 4 of the audit programme.
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
RESULTS OF AUDIT RISK ASSESSMENT
Significant Audit Risk Identified
As the company is reliant for most of its
income on government funding and
ongoing fundraising activities, the
application of the going concern basis to
the preparation of the financial
statements may not be appropriate or
uncertainties relating to the application of
the going concern basis to the
preparation of the accounts may need to
be disclosed.
The risk that fundraising will be
misappropriated.
The risk that the company does not have
proper title to land and buildings.
The risk that some of the public funding
received may be repayable due to nonadherence to funding rules and that this
liability will not be reflected in the financial
statements.
Planned audit response
Planned audit response -We will undertake a detailed
review of the resources the company has available to
fund its activities into the future. It is likely that the
company will not have certainty about future funding and
in such a case we would expect the directors to disclose
this uncertainty in the notes to the financial statements.
In the event of such a disclosure we will consider the
adequacy of same in light of the other evidence gathered
pertaining to application of the going concern basis. If the
disclosure is adequate, we will issue an unmodified audit
report in relation to this matter but include an emphasis
of matter paragraph drawing attention to this disclosure.
If the disclosure is inadequate we will have to consider a
modification to our audit report.
Planned audit response - We will address this risk as
follows:
 obtain written confirmation from the local authority of
grants support provided to the company in the year
and reconcile confirmation to the company's records.
 In respect of the lottery receipts undertake the
following checks:
1. Undertake analytical review of the lottery receipts
for the year,
2. Review the controls in place over the issue of
lottery books to sellers and the return of these
books for inclusion in the weekly draw.
3. Take a sample of 10 weeks and reconcile the
returns from the lottery to the control books
maintained over lottery books issued to sellers
and returned by sellers.
4. Meet with relevant board members and discuss
safeguards in place to ensure that
misappropriation of lottery funds does not occur.
 In respect of the annual sale of work, compare
overall returns from the 2010 sale of work with the
returns from prior year. Investigate any unusual
fluctuations. Discuss with the board members the
controls in place over receipts and consider the
adequacy of same.
 In respect of receipts from pitch rental undertake a
reconciliation of the pitch hire diary book to the
receipts from pitch hire.
Planned audit response - We will obtain confirmation
from the company's lawyer that the company has valid
title to the pitch lands.
Planned audit response - We will review the company's
compliance with the rules pertaining to the public funding
received to ensure that a repayable situation does not
exist. This will include reading agreements entered into
by the company with the funding authority and
considering the implications of same for the financial
statements. This review will assist in making sure that
grants are correctly split between revenue and capital
grants and the rules in SSAP 4 are correctly applied.
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
We are aware that the company is
involved in a legal dispute with an
individual who tripped and fell on the
company’s property. A risk exists that this
matter will not be correctly accounted for
in the year to 31st of December 2013.
Planned audit response - We will communicate directly
with the company's solicitor in relation to this matter and
receive a briefing on the current status of the claim. We
will ascertain if the company’s public liability insurance
will cover any costs arising from the claim. This
procedure would provide adequate information to allow
us assess the adequacy of the accounting treatment of
this matter.
Revenue recognition: The risk exists that
revenue is overstated or understated in
the year.

Management override resulting in the
management manipulating of accounting
records and preparing fraudulent financial
statements by overriding controls that
otherwise appear to be operating
effectively.
The audit work planned to address the risk that fund
raising was misappropriated should provide audit
evidence in relation to the accuracy of the related
revenue figure.
 We plan to obtain directly from the funding agency,
confirmation of funding provided to the company in
the year.
 In the planned audit work on income, we have
planned to address the risk that revenue could be
recognised in the incorrect accounting period.
We will address this risk as follows:
 Review journal entries to ascertain they are
appropriate and reasonable.
 Review accounting estimates for any evidence of
bias and consider if reasonable (undertaken as part
of substantive audit work on accounting estimates).
 Any significant transactions that are outside the
normal course of business for the company will be
evaluated as to rationale (or the lack thereof) of the
transactions. We will be alert for any evidence that
suggests that they may have been entered into to
engage in fraudulent financial reporting or to conceal
misappropriation of assets.
 Based on the results of planned audit work,
consideration will be given to whether other audit
procedures in addition to those specifically referred
to above are required.
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
SUMMARY OF AUDIT APPROACH TO MAJOR BALANCE SHEET AREAS
BALANCE SHEET CATEGORY
Fixed assets
Debtors
Bank
Creditors
Member guarantee
and reserves
Stocks
PLANNED AUDIT APPROACH
Fixed asset additions to be vouched to invoice. Fixed assets inspection to be
carried out. An impairment review is unlikely to be necessary due to the
nature of the fixed assets. Title to be confirmed by the company Solicitor.
In respect of depreciation, the audit approach will be to carry out analytical
review on the depreciation charge and do substantive testing (amount based
on results of analytical review) on depreciation calculations.
Debtors are likely to be small at year-end and relate to unpaid pitch hire
(down from prior year). Verification of amounts due will be by vouching to
booking records. Particular care will be required to ensure adequate
provision is made for bad debts.
In response to assessed risk of misstatement, vouch bank reconciliation and
obtain bank confirmations. Carry out cut off work. Significant substantive
work can be undertaken in this area with minimum input of audit team time.
This work will result in a very low level of detection risk being achieved
quickly and economically.
Amounts due to trade creditors are likely to be small. Carry out analytical
review procedures and based on results determine level of substantive
testing needed on trade creditors. Select all major suppliers, unusual
balances, significant balances and debit balances for verification.
Accruals will be largely audited using analytical review procedures, client
enquiry and targeted substantive testing arising from the results of analytical
review. Undertake significant work in the search for unrecorded liabilities.
PAYE to be vouched and calculations during the year reviewed. Risk of
grants received (funding) becoming repayable requires special attention.
Assessed risk is low as audit team has a detailed knowledge of the
company’s capital structure. This knowledge does not indicate any changes
in the structure during the accounting period. The response to the low
assessed risk will be:
1. Review company register and agree details to accounts. In
particular ensure that the guarantee of the members is
disclosed.
2. Obtain search of company’s file in the companies’ office and
agree details to financial statements.
3. Ensure the company has a minimum of seven members at all
times.
We do not expect the company to have any stock at year-end.
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
SUMMARY OF AUDIT APPROACH TO INCOME AND EXPENDITURE ACCOUNT
INCOME & EXPENDITURE LINE ITEM
Income
AUDIT APPROACH
The planned response to the assessed risk is:


EXPENSES
Third party confirmation of grant income.
Completeness of fund raising to be addressed as
set out above.
 Carry out analytical review procedures to highlight
unusual trends etc.
 Reconciliation of pitch hire income to nonaccounting data.
Prepare detailed analytical review. Use the following as
basis for comparison:
 Prior year figures.
 Non-accounting data where possible.
 Prepare reconciliation of wages to P35.
Where trends / fluctuation cannot be explained consider
preparing analysis of the expense account to determine
reason for the unexpected fluctuation.
Tie out expenses to balance sheet audit verification work
where applicable.
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
LAW AND REGULATION
Law or Regulation identified
Related Audit Risk
Planned Audit Approach
Company law
Non compliance with
company law that
could result in a
material
misstatement in the
financial statements.
Review
of
the
company’s
compliance with company law.
Revenue law
Exposure to
additional tax,
interest and penalties
that are not accrued
for in the financial
statements.
Consideration of the company
exposure to VAT, PAYE/ PRSI and
Corporation
tax
and
obtain
adequate evidence that there is no
exposure to these taxes or where
there is an exposure that the
financial
statements
contain
adequate provision for the tax.
Funding agency regulations.
Exposure to possible
repayment of funding
received from the
funding agency,
where such refunds
are not accrued for in
the financial
statements.



Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
We will review
correspondence with the
funding agencies (local
authority and Pobal) to
identify any possible
issues that could give rise
to possible refunds.
Obtaining written
representations on
possible non-compliance
from the Board.
Request access to any
inspection / audit reports
prepared by the funding.
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
FRAUD
Type of Fraud
Susceptibility of the financial
statements to material
misstatements due to fraud
Planned Audit Approach to
address risk
Fraudulent financial reporting
(including revenue
recognition)
Risk assessment points to the
risk of a material misstatement
in the financial statements from
fraudulent financial reporting as
low. This is based on:
 The knowledge the firm
has of the client.
 Controls operated by
directors.
 The expected financial
outcome for the period
is predictable.
1. The planned substantive
based audit work will
reduce the risk of fraudulent
financial reporting going
undetected.
2. Analytical review.
3. Application of the
knowledge of the entity in
making an assessment of
the credibility of the final
financial statements.
4. Planned approach to
address error in revenue
recognition as outlined
above.
Misappropriation of assets
Risk assessment points to the
risk of a material misstatement
in the financial statements from
misappropriation of assets as
low. Due to the predictable
nature of the income streams
and expenditure it would be
difficult to conceal
misappropriation of assets.
1. The planned substantive
based audit work will
reduce the risk of
misstatement in the
financial statements from
misappropriation of assets.
2. Plan to request a copy of a
sample of returned paid
cheques to confirm validity
of the payments.
3. Analytical procedures.
Management override
While this is possible, the
planned audit response is
adequate.
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
1. Overall planned audit work.
2. Risk will be considered
throughout the audit
process.
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
AUDIT STAFF
Partner
Manager
Staff member (s)
Mary Bloggs
Joe Bloggs
Tom Bloggs
MATERIALITY (AS CALCULATED AT SCHEDULE B2)
Overall performance materiality.
€1,500
Specific performance materiality for separate
€200 for transactions between company and
classes of transactions (where applicable).
directors.
Specific performance materiality for separate
€200 for balances due by directors.
classes of balances (where applicable).
Specific performance materiality for separate
It is the policy of our firm to correct all disclosure
classes of disclosures (where applicable).
errors regardless of amount.
Matters regarded as trivial
€100
APPROACH TO PLACING RELIANCE ON INTERNAL CONTROLS
Due to small number of people involved in management of the entity, segregation of duties is limited
and therefore completion of the audit using a predominantly substantive approach is the audit
approach planned.
APPROACH TO COMPLIANCE WITH ETHICAL STANDARD FOR AUDITORS
We will complete Section B1 of the audit programme to identify any potential issues arising for the
firm in complying with the ethical standards. The overall approach of the firm to complying with the
requirements of the ethical standards will be documented in section B 1 of the audit file.
ASSIGNMENT TIMETABLE
Task
Date
Commence assignment.
Issue standard audit request letters:
 Bank letter,
 Audit planning letter,
 Solicitor request letter.
1 March 2014
1 March 2014
Responsible individual review.
Issue financial statements for approval by
directors.
Sign audit report.
15 March 2014
15 March 2014
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
19 March 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
THIRD PARTY REPORTING REQUIREMENTS
During the course of the audit assignment, the audit team will consider the third party reporting
obligations set out below and where a reporting obligation is identified, the matter will be immediately
brought to the attention of the partner in charge.
Indictable offences
Where during the course of the audit we become aware that a
director, secretary, agent of the company or the company may have
committed an indictable offence under the Companies Act 1963 to
2013 this should be reported to the Director of Corporate Law
Enforcement.
Proper books of account
If the auditor forms the opinion that proper books of account are not
kept, then we are required to notify both the company and not later
than 7 days after notifying the company notify the Register of
Companies of the situation. If auditor is of the opinion that the
directors have taken steps to remedy the situation, then the Register
need not be informed under section 194 of 1990 Act. Staff are aware
that failure to maintain proper books of account is potentially an
indictable offence and will be required to be reported to the Director
of Corporate Law Enforcement.
Criminal Justice (Money
Laundering and Terrorist
Financing) Acts 2010 and
2013.
Criminal Justice (Theft and
Fraud) Act 2001
As our firm is a designated body under anti-money laundering
legislation we are required to report our suspicions where we believe
that an offence under this legislation has been committed.
Taxes Consolidation Act
1997
As auditor / tax advisor to the company we are required to take the
actions specified in the tax acts where we become aware that a
material relevant revenue offence under the Act has been
committed.(see section 1079 of Tax Act)
We are required to report our suspicions to the Gardai where we
believe that an offence under the above act was committed.
AUDIT PLAN REVIEWED AND APPROVED BY:
MANAGER
PARTNER
SIGNATURE
JOE BLOGGS
MARY BLOGGS
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
DATE
1 MARCH 2014
1 MARCH 2014
Audit Plan
Client Name: Community Park Ltd
Accounting Period Ended: 31 December 2013
AUDIT PLAN REVISIONS
Revisions to audit plan.
No revisions required.
MANAGER
PARTNER
SIGNATURE
JOE BLOGGS
MARY BLOGGS
Prepared by: Tom Duffy
Date: 25 February 2014
Reviewed by: Mary Bloggs and Joe Bloggs
Date: 1 March 2014
DATE
19 MARCH 2014
19 MARCH 2014