ChatGPT Prompts for Australian Auditors: Research, Documentation and More

AI assistants like ChatGPT and Claude are most useful for auditors in the research, documentation, and communication aspects of audit work — not for making audit judgements. These prompts are designed for the tasks where AI adds the most value.

Important: All AI-generated content should be reviewed by the auditor before use in working papers, reports, or client communications. Never rely on AI for audit judgements or opinions.

Standards Research Prompts

Understanding an auditing standard

"Explain the key requirements of [AUASB standard — e.g. ASA 315 Identifying and Assessing the Risks of Material Misstatement, ASA 570 Going Concern] in plain English for an audit senior. Focus on the practical implications for planning and conducting an audit. Note: I will verify against the current AUASB standard."

Accounting standard research

"Explain the key requirements of [AASB standard — e.g. AASB 16 Leases, AASB 9 Financial Instruments, AASB 15 Revenue from Contracts with Customers] for an auditor assessing a client's compliance. Focus on: key recognition and measurement requirements, common areas of non-compliance, and audit considerations. Note: I will verify against the current AASB standard."

Industry-specific risk research

"What are the key audit risks for a [industry — e.g. construction company, retail business, not-for-profit organisation, property developer] in Australia? Cover: revenue recognition risks, asset valuation risks, going concern considerations, and any industry-specific regulatory requirements. This is for audit planning purposes — I will apply professional judgement to the specific client."

Accounting treatment research

"What is the correct accounting treatment for [transaction type — e.g. a sale and leaseback transaction, a government grant, a business combination] under Australian accounting standards? Identify the relevant AASB standard and key requirements. Note: I will verify against the current standard and apply professional judgement to the specific facts."

Working Paper and Documentation Prompts

Audit planning memorandum section

"Draft the [section — e.g. background and business understanding, risk assessment, materiality determination rationale] section of an audit planning memorandum for a [type of entity] audit. Key facts about the entity: [describe]. This is a first draft for audit senior/manager review."

Risk assessment working paper

"Draft a risk assessment working paper for [audit area — e.g. revenue recognition, accounts receivable, inventory]. Key risks identified: [list]. Planned audit response: [describe]. This is a first draft for audit senior review."

Management letter point

"Draft a management letter point for the following issue identified during the audit: [describe the issue]. Include: description of the issue, potential impact, and recommendation for improvement. Tone should be professional and constructive. This is a first draft for manager/partner review."

Audit committee presentation section

"Draft a section of an audit committee presentation covering [topic — e.g. key audit matters, significant accounting estimates, going concern assessment]. Key points to cover: [list]. The audience is the audit committee of a [type of entity]. Keep it clear and non-technical. This is a first draft for partner review."

Client Communication Prompts

Audit planning meeting agenda

"Create an agenda for an audit planning meeting with management of a [type of entity]. Include sections for: business update and significant changes, key accounting estimates and judgements, related party transactions, going concern assessment, and timing and logistics. Allow appropriate time for each section."

Information request letter

"Draft an audit information request letter for a [type of entity] audit. The audit covers the year ended [date]. List the key information and documents required, organised by audit area. Keep it professional and clear. This is a first draft for manager review."

Explaining an audit finding to management

"Help me draft a clear explanation of the following audit finding for management: [describe the finding]. The explanation should cover: what was found, why it matters, and what management should consider doing about it. Keep it professional and constructive. This is a first draft for manager review."

Analytical Procedures Prompts

Preliminary analytical procedures

"I'm performing preliminary analytical procedures for a [type of entity] audit. Key financial data: [provide key ratios, year-on-year movements, industry comparisons]. Identify the areas that appear to warrant further investigation based on this data. Note: I will apply professional judgement to determine the significance of any identified issues."

Explaining an unusual movement

"A client's [account — e.g. gross margin, accounts receivable days, inventory turnover] has changed significantly from the prior year. The change is [describe]. What are the most common explanations for this type of movement in a [type of business]? I will use this to prepare questions for management."

Tips for Auditors Using AI

Always verify standard references: AUASB and AASB standards are updated regularly. AI tools may not have the most current versions. Always verify against the official AUASB and AASB websites.

Maintain professional scepticism: AI can identify patterns and draft explanations, but professional scepticism requires human judgement. Don't let AI-generated explanations reduce your critical evaluation of management's responses.

Protect client confidentiality: Audit clients have a right to expect that their financial information is kept confidential. Anonymise or remove identifying information before using client data with AI tools.

Document your AI use: If AI tools are used in the audit process, this should be documented in the working papers in accordance with your firm's policies.