Written Guidelines/Instructions/Manual for Accounting Aspects
Generally, every bank has a written guidelines/manual/ instructions, which describes in detail, the procedures to be followed for executing various types of transactions. The manual normally also includes guidelines for accounting of various types of transactions. The auditor should examine whether there exists a written manual or other compilation in relation to various accounting aspects in the bank. The auditor should also examine whether there is a system of updating the manual or other compilation periodically. He should particularly enquire whether the directions/ instructions of the RBI relating to accounting aspects are incorporated in the manual promptly. The auditor should also examine the system of communicating any changes in the manual to the branches.