(NAME)

CPA NO. __________

(Address)
Contact No._______________
Email Address: ______________________
___
INTERNAL QUALITY REVIEW PROCEDURES

OBJECTIVES:

To have standards that has a quality control process for the accounting
firm and in general to delegate the work to assistants that will comply with the
procedures.

SPECIFIC OBJECTIVES:

1. Professional Requirements – The proprietor of the firm should adhere to

the principles of Independence, Integrity, Objectivity, Confidentiality, and
other ethical standards

2. Skills and Competence – The proprietor should have attain and maintain
their technical standards, professional competence and exercise due
care.

3. Delegation - There has to be sufficient direction, supervision and review

of work at all levels to ensure that standards are met

4. Consultation - expert opinion, within or outside the firm can be obtained.

5. Acceptance and retention of clients - an evaluation of prospective clients

and review of existing clients must be conducted.

6. Monitoring - of the adequacy and effectiveness of quality controls.

QUALITY CONTROL POLICIES AND PROCEDURES

The general quality control policies and procedures of the firm are to be
communicated to its personnel in a manner that provides reasonable assurance
that the policies and procedures are understood and implemented.

On Individual Client Accounting/Audits should be conducted in

implementing those quality control procedures of the firm, which apply to
individual accounting/audits. Delegation, direction, supervision, review and
exercising due care are essential attributes

Supervision includes the elements of direction as well as review. The

Proprietor/ personnel responsible for supervision must monitor the progress of
the accounting/audit, evaluate the competence of assistants, address
significant accounting and auditing questions raised and resolve differences of
professional judgment among the personnel.

Review of the work performed by each assistant, at least by the

Proprietor or a personnel of an equal level is necessary. The considerations
while reviewing are the compliance with the accounting or audit program,
adequate documentation, resolving all significant matters, achievement of
accounting or audit objectives and arriving at consistent conclusions.

The audit plan and program, assessments of inherent and control risks,
documentation of audit evidence have to be reviewed on a regular basis.

The process of reviewing may involve requesting other personnel who

were not involved in the audit to perform certain additional procedures.

Selection of administrative and technical persons

- appoint a personnel responsible for administration of quality control

- appoint a personnel responsible for technical elements relating to
quality control

Determine level of authority of these persons and define reporting

responsibility.

- Persons should be of reasonably senior status with authority to

implement necessary action.
- Reporting should be to the Proprietor or management committee or
equivalent level.

Monitoring – The places on a significant emphasis on independent

monitoring of all elements of a practice’s system of quality control. To ensure
adherence to and the effectiveness of the system of quality control of the
practice should, where possible, apply and develop the following principles:

a. The Proprietor should be responsible for this supervisory review

function;
b. competent senior person(s) should be trained to carry out this
function;
c. person(s) currently involved in any of the elements of quality control
should not participate in the monitoring function;
d. the personnel in charge of this function should review all reports and
personally discuss the reports with the proprietor and appropriate
personnel;
e. non adherence to the policies and procedures relating to quality
control will be reported to the proprietor or appropriate personnel;
f. non compliance by any personnel should be regarded within the
practice as failure to observe a proper standard of professional care,
skill or competence and be dealt with appropriately.

(NAME)