As the auditor of CRT Ltd., a construction company, for the year 2023-24, you are preparing an audit programme to systematically guide the audit…

The advantages of an audit programme are: It provides the assistant carrying out the audit with total and clear set of instructions of the work generally to be done.It is essential, particularly for major audits, to provide a total perspective of the work to be performed.Selection of assistants for the jobs on the basis of capability becomes easier when the work is rationally planned, defined and segregated.Without a written and pre-determined programme, work is necessarily to be carried out on the basis of some 'mental' plan. In such a situation there is always a danger of ignoring or overlooking certain books and records. Under a properly framed programme, such danger is significantly less, and the audit can proceed systematically.The assistants, by putting their signature on programme, accept the responsibility for the work carried out by them individually and, if necessary, the work done may be traced back to the assistant.The principal can control the progress of the various audits in hand by examination of audit programmes initiated by the assistants deputed to the jobs for completed work.It serves as a guide for audits to be carried out in the succeeding year.A properly drawn up audit programme serves as evidence in the event of any charge of negligence being brought against the auditor. It may be of considerable value in establishing that he exercised reasonable skill and care that was expected of professional auditor.