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Making audit pay

There is a parallel between quality audit and profitable audits. Budgeting, planning, procedures and training can all have a positive effect on these under the clarified ISAs. Adrian Gibbons explains how.

The secret to making more money on audits is not difficult; all you have to do is less work,” is a comment I am fond of making during my lectures. After all, there is nothing more profitable than not producing any documentation to support your work, although this may prove to be a false economy when you appear in front of a disciplinary committee or are sued.

The real secret to improving your recoverability on audits is to do only what is needed. This of courses begs the question, “What is needed on an audit file?” The answer brings me back to the ISAs and the changes that have been introduced by the clarity project.