auditqualitymatters

The emphasis of ISQC 1 is on the documentation and communication of internal quality procedures and policies. Auditors  must ensure that they have in place written and communicated policies on a) Leadership, b)  Ethical requirements, c) Acceptance and continuance of client relationships, d) Human resources, e) Engagement performance and f) Monitoring. Policies and procedures need only be sufficiently detailed to provide clarity of purpose and to ensure consistency of application, given the size and nature of the firm. These established procedures should demonstrate compliance with the principles of ISQC 1 and the auditor should also ensure that the procedures are carried out in practice. For sole practitioners, it is important to be confident that the policies and procedures adopted are both technically sound and appropriate in the circumstances.

Once an auditor or audit firm has developed its quality control policies and procedures, one needs to comply with those policies and procedures and be able to produce documented evidence of the operation of its quality control system. This will facilitate the monitoring element of quality control required by ISQC 1.

Compass approach 

Users of our Manual benefit from:

• Compliance with the requirements of ISQC 1.
• Personalised and relevant manual that suits the particular needs of the audit practice.
• Checklists and templates of audit quality monitoring mechanisms.
• Advise on the practice structure, human resource elements and use of audit programme.
• Presentation delivered to auditor and staff.

^{Renzo Farrugia is recognised by the Malta Institute of Accountants to provide audit support services.}