1. Scope of Audit

The audit scope is determined based on the size and nature of the business, regulatory requirements, and specific areas of concern. The auditor identifies key financial areas to be examined, such as revenue, expenses, assets, and liabilities.

2. Audit Planning

The auditor develops an audit plan outlining the objectives, procedures, and timelines for the audit. This includes assessing the risk of material misstatement in the financial statements.

3. Audit Fieldwork

The auditor conducts fieldwork to gather evidence and test the company's internal controls and financial transactions. This may involve examining documents, interviewing employees, and performing analytical procedures.

4. Financial Statements Review

The auditor reviews the company's financial statements, including the balance sheet, income statement, and cash flow statement, to ensure they are accurate and comply with accounting standards.

5. Audit Findings

The auditor presents their findings and recommendations to management, highlighting any issues or areas for improvement identified during the audit.

6. Audit Report

Based on their findings, the auditor prepares an audit report that provides an opinion on the fairness and reliability of the company's financial statements. The report also includes any recommendations for corrective actions.

7. Regulatory Compliance

The audit ensures that the company complies with relevant laws, regulations, and accounting standards in Saudi Arabia.

8. Audit Completion

Once the audit is completed, the auditor issues a final report to the company's management and shareholders. This report provides assurance on the company's financial position and helps stakeholders make informed decisions.