CA Vardhman is the statutory auditor of a listed company and is also required to carry out a quarterly review of financial statements of company in…

As per SRE 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity”, procedures performed by the auditor to update the understanding of the entity and its environment, including its internal control, ordinarily include the following: Reading the documentation, to the extent necessary, of the preceding year's audit and reviews of prior interim period(s) of the current year and corresponding interim period(s) of the prior year, to enable the auditor to identify matters that may affect the current-period interim financial information.Considering any significant risks, including the risk of management override of controls, that were identified in the audit of the prior year's financial statements.Reading the most recent annual and comparable prior period interim financial information.Considering materiality with reference to the applicable financial reporting framework as it relates to interim financial information to assist in determining the nature and extent of the procedures to be performed and evaluating the effect of misstatements.Considering the nature of any corrected material misstatements and any identified uncorrected immaterial misstatements in the prior year's financial statements.Considering significant financial accounting and reporting matters that may be of continuing significance such as material weaknesses in internal control.Considering the results of any audit procedures performed with respect to the current year's financial statements.Considering the results of any internal audit performed and the subsequent actions taken by the management.Inquiring of management about the results of management's assessment of the risk that the interim financial information may be materially misstated as a result of fraud.Inquiring of management about the effect of changes in the entity's business activities.Inquiring of management about any significant changes in internal control and the potential effect of any such changes on the preparation of interim financial information.Inquiring of management of the process by which the interim financial information has been prepared and the reliability of the underlying accounting records to which the interim financial information is agreed or reconciled.