Throughout the audit, audit clients will be informed of the audit process through regular status meetings and/or communications. The audit team makes every effort to discuss audit observations, potential issues, and proposed recommendations as they are identified. In some instances, it is necessary to work directly with audit clients to determine or validate the root cause and discuss ways to eliminate the root cause. There are some arguments in the field of auditing that informing each and every details of audit plan to the client is a good idea, but reduces the overall effectiveness of audit. Others argue that the auditor can disclose some non crucial information that to the client that doesnt affect the audit procedures or collection of evidence.

Question

1. Is it right to for an auditor to disclose all the plan and procedure to the audit client? If Yes, what is going to be its effect on audit?( 2 Marks)

2. Suppose you are not disclosing any details of your audit plan to the client, is that going to affect the process of audit in any manner? Justify your answer.