| Audit Objectives | Criteria | Control Objectives |
|---|---|---|
| 1. Ensure that the inventory of capital assets on hand is complete | Proper reporting of inventory Reports are mathematically accurate and coded properly |
Inventory is in place capturing active and non-active assets Inventory is keep up-to-date reflecting additions and removals Physical inventory is verified for existence Coding errors are detected through supervisory review or reconciliations Transposition errors or inaccurate entry is detected through supervisory review or reconciliations Proper measures are in place to correct errors such as correcting journal entries or policy revisions |
| 2. Ensure that controls are in place to safeguard assets from theft or unauthorized access | Security in place to protect assets Proper authorization in place |
Items are identified and tagged Guards can detect theft of assets at turnstiles Merchandise is stored in safeguarded areas with adequate locks, cameras and security card access at loading docks Only authorized people have access to items stored in cages Access to inventory information is protected with security codes such as passwords and User ID Hardware is maintained on a regular basis (specifically laptops) Transactions are authorized via delegation of authorities at each phase of the life cycle Proper authorities are signing at each threshold Proper delegation of authorities (segregation of duties) are used where one person will sign off based on Section 33 and another will sign off based on Section 34 |
| 3. Ensure that efficient procedures are in place to determine the value, including improvements, amortization and estimated useful life of capital assets | Documentation of a life cycle Proper handling of transactions from accounting point of view |
Life cycle is captured over timeline from A to Z and timeline fits asset class Assets are properly categorized (i.e. pooled or non pooled) Assets are properly recorded in accounting ledgers Assets are properly amortized Assets are properly disposed of |
| 4. Ensure that procedures in place within Statistics Canada for capital assets are in accordance with TBAS 3.1 - Capital Assets. | Compliance with TBAS 3.1 - Capital Assets and with Statistics Canada Policy (Draft) on Internal Controls | Proper timelines are reported Assets are recorded at historical value and transactions are entered for acquisition, disposal, amortization, improvement and impairments of assets |
Appendix A
Criteria and Related Controls
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