Para 2.6.14 — MSO

2.6.14 When the audit of an institution is taken up by the Comptroller and Auditor General, its scope should be determined after taking into account the existing audit arrangements and after making a professional review of the prevalent audit systems. For example, the scope of audit, periodicity of audit, percentage of test check, etc. in relation to local bodies audited by the Examiner of Local Fund Accounts, should be determined in the light of periodical reviews of the adequacy of the audit conducted by him. The audit systems being applied to any class of institutions should be reviewed before taking up their audit. Such a review has to be supplemented by an occasional audit of individual transactions.