The auditor must carry out a well planned and effective supervision of the assistants, as well as the entire auditing process. Very similar to the GAAS, this criterion states that the auditor must obtain organizational independence from its management, as this would help him/her evaluate the activities of all organization’s personnel in an uninterrupted and unrestricted manner, also including the management. These are listed as follows – Independence The GAGAS are also known as the Yellow Book and were established by the Government Accountability Office (GAO). The 5 GAGAS are followed by the auditor when auditing the financial and/or performance audits of the government agencies. Generally Accepted Government Auditing Standards (GAGAS) It is also important for the auditor to comment upon the nature of the organization’s auditor in terms of work efficiency and responsibleness. In failing to do so, he/she must mention a valid reason. Also, the auditor must mention his overall opinion regarding the financial statements of the entity.If they are not sufficient, then that should be stated in the report. The auditor must present adequate informative disclosures in his/her report.If it is found that the generally accepted accounting principles have not been followed consistently during the current period in relation with the preceding period, then the auditor must mention those circumstances in his/her report.Once the field work has been done, it is mandatory for the auditor to state in his/her report whether or not the financial statements presented, follow the Generally Accepted Accounting Principles (GAAP).Obtaining audit evidences while performing the procedure also helps the auditor to base his/her opinion about the financial statements that have been, or are being audited.
This also helps the auditor to further design the audit procedure, keeping in mind the nature and the time that would be needed. It is also important for the auditor to understand the entity and its environment thoroughly, in order to assess the possibility of fraud or error, when it comes to material misstatement.Efficient planning of the work and proper supervision of the assistants must be done by the auditor.It is important for the auditor to exercise professionalism during the task.It is also necessary for the auditor to consistently keep an independent approach in terms of his/her mental attitude, when it comes to matters related to performing the audit.In order to perform an audit, the auditor must possess adequate amount of proficiency through technical training.
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