Questions for the Audit Committee to Ask the Auditor

Note: These questions are in addition to specific questions related to issues unique to the particular organization.

Here are 15 questions that should be raised with the auditor in the post-audit meeting:

1. How would you compare the quality of our accounting to other organizations with whom you work?

2. What was your materiality threshold?

3. Do we have any unconsolidated entities such as a foundation, taxable subsidiary, real estate holding company, or joint venture, and why were they not consolidated?

4. Are we up-to-date on all of our filings and remittances? 

5. Do our investments conform to our investment policy?

6. Are our receivables recorded in compliance with our receivables recognition policy?

7. Are there any significant receivable amounts of which collection is uncertain?

8. Are our reserves adequate?

9. Are we vulnerable on revenues because we are overly dependent on one revenue source?

10. Are we in compliance with lines of credit and other banking requirements?

11. Are all movements of resources in or out of designated funds properly authorized and accounted for?

12. Does the association have adequate internal controls, and is there any concern that improprieties are taking place?

13. Are there any aspects of the audit report that you have been asked to change from what you initially recommended, and do you support the change?

14. Are our Board and annual minutes in a format and stored as required by statute, and by our policies?

15. How long have you been the partner in charge of our audit, and if three years or longer, can we be assured that another partner be taking oversight next year?

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