This article is a practical agenda for an audit committee or supervisory board meeting with the statutory auditor. The objective is to turn audit communication into useful oversight: risk areas, difficult judgements, unposted adjustments, independence and next-year improvements.
What is the audit committee trying to achieve?
The audit committee oversees financial reporting quality, internal control, statutory audit and auditor independence. Its value comes from asking questions that reveal risk, judgement and management response.
12 concrete questions to ask the auditor
- Which areas did you identify as significant risks?
- Was management override assessed as a fraud risk?
- Which audit adjustments were the most difficult?
- Were any adjustments left unposted?
- Did you face data access limitations?
- Are there impairment indicators?
- Is there going concern risk?
- Did materiality change compared with the prior year?
- Which areas may become key audit matters?
- Is auditor independence affected by non-audit services?
- What will be included in the management letter?
- What should management improve before the next audit?
Key audit matters and significant risks
Key audit matters are not generic disclosures. They should point to the areas requiring the most auditor attention. The committee should understand why those areas were selected, how audit evidence was obtained and whether management judgement was balanced.
Auditor independence
The committee should review fees, non-audit services, long association threats, safeguards and whether management has placed pressure on audit scope or timing.
Management letter and follow-up
A management letter is only useful if actions are owned, dated and followed up. The committee should ask what changed since last year and which recommendations remain unresolved.
Frequently asked questions
Need a sharper audit committee agenda?
JMFC can support boards and audit committees with practical statutory audit communication, risk framing and management-letter follow-up.