- 10 Marks
AAA – May 2021 – L3 – Q4b – Public sector audit | Assurance services
Discuss the principles of performance audit and describe the documentary evidence useful during the planning stage of a performance audit.
Question
Performance audit is an independent assessment of an entity’s operations, typically associated with government agencies. The goal is to evaluate the performance of a stated program to determine its effectiveness and to make changes if needed. Performance audits often include an analysis of the conditions necessary to ensure that the principles of economy, efficiency, and effectiveness are upheld. It is necessary in a performance audit to document the audit plan in an audit engagement.
Required:
i) Discuss the principles of performance audit. (6 marks)
ii) Describe FOUR (4) documentary evidence useful at the planning stage during an audit exercise. (4 marks)
Find Related Questions by Tags, levels, etc.
- Tags: Audit Principles, Documentary Evidence, Economy, Effectiveness, Efficiency, Performance Audit
- Level: Level 3
- Series: MAY 2021
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