Preparation for an audit starts with clear responsibilities, organised records and a realistic timetable. This guide brings together the main matters a company’s management and finance team can address before and during an audit.

What is the purpose of an audit?

The auditor seeks a high, but not absolute, level of assurance that the financial statements as a whole contain no material misstatement due to fraud or error. The resulting opinion is not a guarantee that every transaction is correct or that the company will remain financially successful. BDS 200

Who prepares the financial statements?

Management is responsible for preparing the financial statements and notes under the applicable reporting framework, and for the necessary internal control. Obtaining external assistance does not transfer that responsibility to the auditor. Management must provide relevant records, additional information and access to people needed for the audit. BDS 210

For an entity reporting under TFRS or BOBİ FRS, preparation includes identifying the adjustments and disclosures needed to move from tax-based accounting records to the applicable reporting framework. Keeping a clear reconciliation between the trial balance, adjustments and final statements makes the process easier to follow.

Financial reporting support and independence

Preparing financial information and independently auditing it are different responsibilities. An auditor cannot assume management’s role. Reporting support must be considered under both Turkish legislation and ethical requirements; stricter local restrictions take precedence. Work prohibited by those rules cannot be made permissible simply through management approval or the use of a separate team. Etik Kurallar / Code of Ethics

How should preparation be organised?

  1. Plan early. Discuss reporting dates, contact persons and planned fieldwork before year-end. Where relevant, inventory-count arrangements should be discussed in advance. The auditor retains responsibility for audit planning. BDS 300
  2. Reconcile the records. Link the trial balance and account schedules to the financial statements; explain differences and retain support for adjustments.
  3. Document judgements. Keep the assumptions, calculations and supporting information behind estimates such as provisions, impairment and useful lives.
  4. Track document requests. Use one list showing the requested item, responsible person, delivery date and outstanding questions. Label revised files clearly and share them through access-controlled channels.

Which records may be requested?

The following is an illustrative preparation list, not a complete or universally mandatory checklist. Requests depend on the entity, reporting period and assessed risks.

  • Corporate information: registry records, ownership structure, resolutions and significant contracts.
  • Accounting and reporting: trial balance, ledgers, prior-period statements, current statements and notes, and reporting adjustments.
  • Account schedules: bank and borrowing records, receivables and payables, inventory counts, fixed assets and support for revenue and expenses.
  • Other significant matters: related parties, litigation, estimates, tax and payroll records, and events after the reporting date.

Does submitting the documents complete the audit?

No. The auditor evaluates the relevance and reliability of information and performs procedures suited to the risks. Inspection, observation, confirmation, recalculation and other procedures may be needed. Collecting files alone does not establish sufficient appropriate audit evidence. BDS 500

Written management representations support the audit, but do not replace other evidence that is needed. Missing information and unresolved inconsistencies therefore require follow-up. BDS 580

How does the process conclude?

The auditor evaluates the evidence and findings before forming an opinion. Depending on the circumstances, the outcome may be an unmodified, qualified or adverse opinion, or a disclaimer of opinion. A particular result cannot be promised in advance. The report’s content follows the applicable standards; it is not defined by a fixed number of pages. BDS 700 · BDS 705