Financial controls audit

Who it's for: Finance teams preparing for an external audit or reviewing a business unit.

Approvals

1. Is there an approved delegation-of-authority matrix? YesNo
2. Are purchase orders approved before goods are ordered? YesNo
3. Are payments approved by someone other than the person who prepared them? YesNo
4. Are new vendor bank details verified before first payment? YesNo

Reconciliations

5. Are bank accounts reconciled monthly? YesNo
6. Are reconciling items investigated and cleared on time? YesNo
7. Are receivables and payables ledgers reconciled to the general ledger? YesNo
8. Are reconciliations reviewed and signed off? YesNo

Records

9. Are invoices and receipts kept for the required retention period? YesNo
10. Are journal entries supported by documentation? YesNo
11. Is access to the accounting system restricted by role? YesNo
12. Are month-end close steps documented? YesNo

Tax & reporting

13. Are tax returns filed on time? YesNo
14. Are management accounts produced monthly? YesNo
15. Are budget variances reviewed and explained? YesNo
16. Were last year’s audit findings closed? YesNo

For each answer, record a short reason and attach supporting evidence (certificates, logs, photos) where available. These questions reflect general good practice; adapt them to the standards and laws that apply to you.