Audit Plan for Azure Enterprises: Evaluating Risk of Fraud

ASSIGNMENT

To,
Respected Sir,
Audit Senior
The current report is related to the evaluation of the trial balance of Azure Enterprise
as asked by you. The report comprises the areas which need to be emphasized, and the
same are discussed in detail and with their audit process. It can be concluded that
sufficient appropriate and adequate audit evidence is essential so that opinion can be
formed on the financial reports by the auditor. Further, the mere trustworthiness of
management cannot be applied as the base of opinion that whether fraud element exists
in transactions of the organization or not.
Yours Sincerely,
Audit team

AUDIT PLAN FOR AZURE ENTERPRISES

Executive Summary
Materiality can be referred to as the main variant which is applied as a base by an auditor in
order to ascertain whether risk relating to fraud exists in books of account of an organization.
Auditing assertions can be specified as explicit claims or representations which are made by
management and are responsible for the development of financial statements regarding the
appropriateness of several elements of financial statement and disclosure. Present study
revolves around the analysis of accounts of Azure Enterprises in order to assess the variant of
risk relating to fraud in same. In order to assess the same significant account which requires
detail assessment have been ascertained which are: Cost of sales, service fees and interest
expense. The audit procedure which is applied to same is: re-considering the entire data on
the summary reports in order to ascertain the exactness. Run transaction-level reports for the
accounts so that the details can be analyzed for the verification of the figures which are
posted in summary report are correct. It can be concluded that to enquire whether fraud
variant exists or not, an auditor requires to attain sufficient adequate and appropriate audit
evidence.