RLLMM Auditing Firm

Door 318 3rd Floor BE Building, UM Campus

Matina, Davao City
Cell No. 09099132442/rllmmauditingfirm@gmail.com

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AUDIT ENGAGEMENT LETTER

19 February 2020

ENGR. MA. MAE EDULLANTES

Chairman
National Irrigation Administration Region XI
Employees Multi-Purpose Cooperative
Bolton St., Davao City

Ma’am Edullantes:

The purpose of this letter is to set out the basis on which we are to act as auditors of the
NIAXI EMPCI and the respective areas of responsibility of the NIAXI EMPCI and
ourselves.

Audit Engagement Objectives

The following are the audit objectives:

1. To assess management’s compliance with the applicable laws and regulations, internal
policies and procedures.
2. To determine whether the annual operation plan is achieved through organizations
annual report.
3. To determine whether the item being examined complies with established standards.

Nature and Scope of Work:

Nature
Compliance Audit is a process of comprehensive reviews that focus on an organization
commitment to a set of regulatory guidelines or its adherence to a specific contract or
term of agreement.

Scope
The audit team aims to examine the management`s compliance on laws and regulations to
its internal policies and procedures. Moreover, advice the management to improve its
operations though tackling identified key business risks. The audit period shall be from
February 24, 2020 top March 13, 2020.
 RLLMM Auditing Firm
Door 318 3rd Floor BE Building, UM Campus
Matina, Davao City
Cell No. 09099132442/rllmmauditingfirm@gmail.com

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Timetable and Deliverables

Timetable:
The fieldwork of audit report would be from February 24, 2020 to March 13, 2020.
Deliverables:
1.1 Inquire about the organization’s availability of the required documents.
1.2 Inquire about the requirements put up by the Cooperative Development Authority
(CDA).
1.3 Review the requirements set by Cooperative Development Authority (CDA).
1.4 Reconcile the expenses presented in the liquidation report with receipts.
1.5 Examine the authenticity and validity of all the documents presented.
1.6 Recalculate the balances presented by the organizations in their liquidation.

Fees and Billings:

The services that we will perform are free of charge.

Roles of the Audit Client:

1. To allow and assist the audit team in conducting audit tests and processes that are vital
to meet the audit objectives.
2. To allow the audit team in accessing necessary documents in audit.
3. To establish professional relationship with audit team in achieving efficient and
effective audit.

Roles of the Audit Team:

1. To understand managements nature of transactions.

2. To conduct necessary audit procedures to gather evidence.
3. To gather sufficient and appropriate evidence that will support the audit findings.
4. To give recommendation for the improvement of the cooperative.

Signed and Conformed by:

REI LEO GOMEZ ENGR. MA. MAE EDULLANTES

Audit Team Leader Chairman
February 19, 2020 National Irrigation Administration Region XI
Employees Multi-Purpose Cooperative
February 19, 2020
LEAH BESERIL
Audit Team Member
February 19, 2020
 RLLMM Auditing Firm
Door 318 3rd Floor BE Building, UM Campus
Matina, Davao City
Cell No. 09099132442/rllmmauditingfirm@gmail.com

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MILDRED GUMAPAC
Audit Team Member
February19, 2020

LEONIVIE RIZALDO
Audit Team Member
February 19, 2020

MARY JOY TORREMOCHA

Audit Team Member
February 19, 2020