If you’ve noticed your audit team digging a bit deeper into your Excel exports or asking about your software settings lately, you’re not alone! It isn’t just curiosity—it’s about meeting new standards for “Information Produced by the Entity” (IPE).
The Accounting and Financial Reporting Council (AFRC) recently issued a “Checkpoint” reminding auditors to elvauate whether the informaiton provided by client is sufficienly reliable for the auditor’s purposes.
What’s changing?
In the past, we might have just looked at the final numbers on a report. Today, the AFRC guidance asks us to look at the “Data Pipeline” instead. We now need to verify:
- The System: Is your accounting software secure, and who has the “keys” to change things?
- The Extraction: When you click “Export to Excel,” are the filters set correctly so no data is left behind?
- The Source: Does the digital entry match the original invoice?
How we can work together
We know your time is valuable, and we want to make the audit process as smooth as possible. You can help us speed things up by:
- Showing your work: When providing a report, let us know the parameters or “filters” used to create it.
- Highlighting controls: If you have a specific process for checking entries, let us know! It helps us trust the data faster.
- Open Dialogue: In some cases we will ask for a “re-performance” (watching how a report is generated) in order to obtain sufficient and appropriate evidence.
Our Goal: We’re here to ensure your financial story is told accurately and professionally. Your cooperation helps us build a stronger, more transparent audit that adds real value to your business.