Report on the Audit of Compliance with Financial Policy in Departmental Legal Services Units - September 2014
Appendix A – Audit Criteria
Based on a combination of the evidence gathered through documentation examination, analysis, transaction testing and interviews, each of the audit criteria listed below was assessed and a conclusion for the audit criteria was determined using the following definitions:
| Conclusion on Audit Criteria |
Definition of Opinion |
| 1. Criteria Met – Well Controlled |
Well managed or no material weaknesses noted, controls are effective. |
| 2. Criteria Met with Exceptions – Controlled |
Requires minor improvements. |
| 3. Criteria Met with Exceptions – Moderate Issues |
Requires improvements in the areas of material financial adjustments, some risk exposure. |
| 4. Criteria Not Met – High Impact – Significant Improvements |
Requires significant improvements in the area of material financial adjustments, serious risk exposure. |
The following are the audit criteria and examples of key evidence and/or observations noted which were analyzed and against which conclusions were drawn. In cases where significant improvements and/or moderate issues were observed, these were reported in the audit report.
Line of Enquiry 1 – Financial Management Governance
| Audit Criteria |
Conclusion on Audit Criteria |
Examples of Key Evidence/Observations |
| Criterion 1.1: Effective oversight mechanisms are in place that foster prudent stewardship of public resources in the delivery of the mandate of the organization. |
2 |
Finding 1, 4 |
Line of Enquiry 2 – Compliance with Government of Canada and Departmental Financial Management Policy Instruments
| Audit Criteria |
Conclusion on Audit Criteria |
Examples of Key Evidence/Observations |
| Criterion 2.1: Financial transactions are managed in compliance with applicable legislation and policy instruments. |
3 |
Finding 2, 3 |
| Criterion 2.2: Budget management practices provide timely and accurate financial information. |
1 |
Finding 5 |
