Audit Plan
Audit Purpose:
Audit scope:
 Inventory risk assessment
 Audit consist of 200 hours of work
Audit process
The audit process consist of inspection, data collection, inquiries with employees, review of
documents, etc.
Stages
Deliverables
Estimated hours
Risk assessment
 Compliance checklist
 60
 Understanding of client
 Inventory risk checklist
business
 Suggestions
 Scrutinize financial
statements to identify the
risk of material
misstatement
Further audit procedures
 Audit evidence
 70
 Inspecting warehouse and
 Resulting documents
factory
from the
implementation of the
 Physical counting of
inventory
audit procedures
 Reconcile the physical
inventory count to the
general ledger
Reporting
 Draft report
 70
 Draft report
 Final report
 Follow-up meeting
 Discussion on risks and
recommendations
 Incorporation of comments
(if any)
 Final report
Conclusion
We expect to submit our final report for this audit by 200 hours. Our findings and
recommendations will be discussed with the management before the submission of the final
report.