Abstract:
Public accounting firm Drs. Bambang S. & Partners is a small-medium public accounting firm that provides assurance services for the clients. In generating a good assurance services, the firm uses peer review as a control system to maintain the audit quality and audit task. The peer review is done by the partner through checking the auditor’s task by reviewing the audit documentation. The research is done with qualitative method using case study model and the data collecting and processing are done by literature review and field research. The field research consists of interview, observation, and documentation. The scope of the research is limited on the three standards of field work of generally accepted auditing standards. From the research, the researcher found some weaknesses. The researcher found that the firm has no assignment letter in the engagement and there is an unmatched client’s name in the audit plan. There are also audit procedures that have not done by the firm and there are some unprinted documents which lead to the incomplete audit documentation. The audit documentation is also unprepared because there is no date of preparer and reviewer. It is getting worst because the reference is not match with the schedule. In order to overcome the cases, the public accounting firm should make improvement in the audit documentation. First of all, the firm should make an assignment letter for every engagement to ensure the ability of a team and also conduct a tight review to avoid misappropriate client’s name in the audit plan. Besides that, the company should do all audit procedures listed in the audit program and print all documents done to provide all information needed by users and support the auditor’s opinion. The last, the firm should tighten the internal control by preparing audit documentation properly with appropriate reference, initial of preparer and reviewer, date of preparer and reviewer, and signing if needed.
