Scope: The Boundary of Your Audit

Scope: The Boundary of Your Audit

Scope is the boundary and one of three main parameters of your audit. Additionally, the audit objective and methodologies make up the other two parameters.

Basically, the scope describes the difference between the universe and what you actually audited to not mislead the reader.

GAGAS 2024 states the following about the scope of an audit:

8.10 Scope is the boundary of the audit and is directly tied to the audit objectives. The scope defines the subject matter that the auditors will assess and report on, such as a particular program or aspect of a program, the necessary documents or records, the period of time reviewed, and the locations that will be included.

9.12 Auditors should describe the scope of the work performed and any limitations, including issues that would be relevant to likely users, so that report users can reasonably interpret the findings, conclusions, and recommendations in the report without being misled.

Your objective, scope and methodology must be included in your audit report and audit documentation.

Narrow the scope just enough to make sure the audit is complete before it has a birthday!

Want to learn more?

The self-study Audit Reporting Bundle is just what you need to get up to speed! Complete the included two courses, one video and one self-study. Purchasing as a bundle saves $75 and provides 11 hours of Yellow Book qualifying CPE credit. By the end, you’ll be able to differentiate among the contents of a performance audit report. That includes the audit objective, scope and methodology, and audit results.

Need more in-depth training? I invite you to join me for one of my most popular classes, the Virtual Audit Bootcamp scheduled for September 30-October 4. We explore each phase of conducting a government audit while complying with significant Yellow Book and IIA standards. Learn and create key audit deliverables (such as objectives, risk assessment, key controls, findings, tests, and audit documentation) to succeed as an auditor. And there’s a bonus to help you develop your interviewing skills! Earn 7 extra hours of CPE at your own pace with a complimentary self-study course, Interviewing Skills for Auditors.