During the verification of transactions, the auditor examines the supporting documents and records. In scrutiny of documents, the auditor comes across various records and documents and if he comes across any unusual tran
CS Professional · Internal and Forensic Audit · PYQS · June 2026
During the verification of transactions, the auditor examines the supporting documents and records. In scrutiny of documents, the auditor comes across various records and documents and if he comes across any unusual transactions, he verifies the same thoroughly. This is called scanning of records which require expertise and experience. The auditor can rely on the documents depending upon the origin (source) of the documents and the efficiency of the internal control system in operation. You, a practising Company Secretary have deputed a newly appointed assistant for carrying out preliminary routine internal audit procedures. You have assigned him the task of vouching. Your assistant is curious to know about vouching. You have been asked to answer following questions? What are the purposes of vouching?
Answer & Explanation:
Vouching is the technique of examining the supporting documents and records by the auditor while verifying various transactions. The purposes of vouching i.e. examining the documents and records include the following: to confirm the authenticity (genuineness) of the transaction. to find whether the transactions and the supporting documents are appropriate. to ensure whether the transactions are authorized (approved). to ensure whether the classification of the transaction is proper.
Topics: Audit Procedures
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