13. Making examination report Аня

Unit 5 ex. 17-18

The forensic audit or fraud examination process involves several key steps. First, the auditor meets with the client to clarify the task’s scope and performs a conflict check while identifying the main parties involved. Next, an initial investigation assesses the risk level of the situation. Based on this, an action plan is developed, including selecting the approach and team. The auditor then gathers relevant evidence such as documents, information, and assets. After collecting evidence, they analyze the findings and measure the financial damage caused. Finally, a detailed report is prepared summarizing the investigation.

A typical fraud examination report includes several sections:

- Background: Explains why the examination was initiated, such as a tip or discovered anomaly.

- Executive Summary: Summarizes the actions taken during the investigation and the overall outcome.

- Scope: Defines the specific focus of the examination (e.g., missing inventory or misappropriated funds).

- Approach: Describes the team members involved, procedures followed, and individuals interviewed.

- Findings: Details the investigation results, including what was uncovered, how the fraud was carried out, and who was involved. This section is detailed but organized for clarity.

- Summary: Concisely restates the key results of the examination.

- Impact: Explains the effect of the fraud on the organization or business.

This structured approach ensures a thorough and clear investigation, with findings presented in a way that supports further legal or organizational action.