Client: __________________________________________ Audit Date: _________________

Client Personnel Interview: __________________________________________________________

________________________________________________________________________________
Auditor: ______________________________________ Date Completed: _________________
Reviewed by: _________________________________ Date Reviewed: __________________
Type of Testing: Compliance
Cycle: Expenditure Class of Transactions: Production
Executing Yes No NA Remarks
1. Are production orders prenumbered and the numerical sequence
checked for missing document?
2. Are production orders prepared by authorized persons?
3. Are bills of materials and manpower needs forms prepared by
authorized persons?
4. Are bills of materials and manpower need forms prenumbered
and the numerical sequence checked for missing document?
5. Are issue slips prenumbered and the numerical sequence
checked for missing document?
6. Are material requisitions and job time tickets reviewed by
the production supervisor after the foreman prepares them?
7. Are the weekly materials-used reports and direct labor
reviewed by the production supervisor after preparation by the
foreman?
8. Are completed production reports prepared?
9. Is a quality control report issued on finished work?
10. Do routing tickets accompany the transfer of goods?
11. Is receipt obtained from transferee when goods are transferred?
Recording Yes No NA Remarks
1. Are standard costs used? If so, are they reviewed and revised
periodically?
2. Does the accounting manual give instructions for proper
classification of cost accounting transactions?
3. Are summary entries for direct materials and direct labor
reviewed and approved by the cost accounting supervisor?
4. Is there verification of correct application of overhead job cost
sheets?
5. Is there segregation of functions between general accounting
and cost accounting?
6. Are there periodic reconciliations of work in process and finished
goods with subsidiary records?
Custody Yes No NA Remarks
1. Is work in process tagged during production?
2. Are finished goods stored in locked warehouses?
3. Are perpetual finished goods records periodically compared
with goods on hand?