Audit Note Book - QS Study
QS Study

An Audit Note Book is a book which is maintained by the audit staff during the course of the audit, to note the errors, difficulties, doubts and new points to be discussed with the seniors or the auditor. A note book which is prepared by the audit staff to note down all the uncleared queries which s/he may find in the course of audit and requires further clarification and explanation is known as audit note book. Such a book is a written record of queries made; replies received there too, correspondence entered into, etc. It contains information regarding day-to-day work performed by the audit staff on any particular date.

Objectives of Audit Note Book:

  1. Detection and prevention of frauds and errors effectively.
  2. To make the future audit work easier.
  3. To know the facts where clarification and explanation are essential.
  4. To check the list of debtors and creditors.
  5. To present as a proof by the auditor to clearance over the cases.

Contents of Audit Note Book –

  1. The nature of the business carried on and the important documents relating to the constitution of the business,
  2. The name of the client and the audit year.
  3. A list of books of accounts in use.
  4. Details regarding accounting and financial policies followed in the business.
  5. A copy of the audit program.