AUI3703 ASSIGNMENT 2 SOLUTIONS 2023 S1
QUESTION 1
1.1 Define performance auditing to management. (2)
Performance auditing involves firstly determining management’s objectives, then establishing
whether the management controls that exist lead to effectiveness, efficiency and economy.
Performance auditing can be carried out in all the functional areas of an organisation, such as
marketing, sales, production and human resources. In addition to providing an assurance that the
financial information is a true reflection of facts.
QUESTION 1
1.1 Define performance auditing to management. (2)
Performance auditing involves firstly determining management’s objectives, then establishing
whether the management controls that exist lead to effectiveness, efficiency and economy.
Performance auditing can be carried out in all the functional areas of an organisation, such as
marketing, sales, production and human resources. In addition to providing an assurance that the
financial information is a true reflection of facts.
