Development of Audit Plan and

Audit Program for audit of Renata Limited

A Report on
Development of Audit Plan and
Audit Program for audit of Renata Limited
Course code : FCourse title : Auditing

Submitted to:

Submitted by:

Date of submission: 2nd February, 2016

Group Profile
Group No. : 14
Sl.
No.

Name

ID

Remarks

Acknowledgement
First of all we express our gratitude from heart to the Beneficent, the Merciful & Almighty Allah
for giving us the strength and patience to prepare this report within the programmed time.
We are deeply indebted to
We would like to thank all the members of our group who helped us sincerely from every aspect.
An individual can achieve no noble achievement by his/her alone trial. We are indebted to a
number of persons for their kind suggestions, direction and co-operation.
We have taken help from various books and internet. We are thankful to those authors for the
help we have gathered from their resourceful work.

Letter of Transmittal
2nd February, 2016
3

Mr. Mohammad Salahuddin Chowdhury

Assistant Professor
Department of Finance
Faculty of Business Studies
University of Dhaka
Subject: Submission of Report
Dear Sir,
On behalf of all members
BBA 19th Batch
Section: B
Department of Finance
Faculty of Business Studies
University of Dhaka

Table of Contents

Chapter
no.

Contents of Chapter

Page No.

Executive Summary

1-2

Introduction

3-5

1.1 Origin of the Report

1.2 Objectives of the Report

1.3 Methodology

1.4 Limitations

Literature Review

6-9

2.1 Audit strategy

2.2 Audit plan

2.3 Audit program

7-8

2.4 Bangladesh Standards on Auditing (BSAs)

8-9

Overview of Renata Ltd.

10-12

Approach to Planning for audit of Renata Ltd.

23-26

4.1 Step 1: Ensuring the ethical requirements continue to be met

for Renata Ltd.

14

4.2 Step 2: Ensuring the terms of the engagement are understood

for Renata Ltd.

14

4.3 Step 3: Establishing the overall audit strategy for Renata

Ltd.
4.3.1 Understanding Renatas environment

14-23

4.3.2 Understanding Renatas accounting system and

15

14-15

internal control
4.3.3 Risk assessment of Renata Ltd.
4.3.4 Materiality

15-17
17-21

4.3.5 Analytical procedures

21-23

4.4 Step 4: Developing an audit plan

24-25

4.4.1 Sampling methods

24

4.4.2: Test of control

24

4.4.3: Test of detail

24

4.4.4: Accounting estimates and judgments

24-25