EXPRESSION OF INTEREST FOR STATUTORY AUDIT

EXPRESSION OF INTEREST FOR STATUTORY AUDIT

(Open to Audit Firms Only)

1.  Background 

APEIRON is a women led Nepali NGO working for a gender equal society through four main areas of interventions; Gender Based Violence (GBV) Prevention and Response, Awareness and Education, Income Generation and Institutional Collaboration. 

APEIRON is looking for audit firms to conduct the audit of Fiscal Year 2076-77 and give an opinion on audit within specified time frame.

2.  Objective of Audit

The overall purpose of this audit is to give the reasonable assurance of all income received and cost incurred in current fiscal year 2076-77 are in accordance with the relevant policy of APEIRON, are in compliance with Government of Nepal's rules and regulation and produce a report as per Nepal Accounting standard (NAS). 

3.  Audit Scope and Assignment

The scope of the audit is to check the income provided and costs incurred through the vouchers and other related project documents. This will review Income and Expenditures of APEIRON for the period of one financial year. The auditor should verify the report by the means of; 

• Checking and verifying whether the appropriate supporting documents, records and books of accounts relating to all project activities have been kept and whether these documents clearly relate to the activities they were assigned for  
• Physical verification of the cash, inventory /Fixed Assets lists in APEIRON.   
• Checking and verifying whether the compliance with applicable laws is made or not.
• The audits should be carried out in accordance Nepal Standards on Auditing.  

4.  Audit Methodology

1. Issue of Appointment Letter by management.
2. Issue  of Engagement Letter by auditor.
3. Inception/planning phase:Time line for executing the plan submitted in EOI will be discussed and amended if needed. 
4. Issue of Management Representation Letter.
5. Auditing:  
   • The auditor must audit the financial transactions of APEIRON for the financial period and primary discussion on findings with Finance head and Executive Director. 
   • Preparation of draft report and issue the draft report for management comment on agreed timeline.  
   • Receipt of Final Management Comments from APEIRON. 
   • Finalize the Management letters
   • Finalization of report and issue final audit report with a management letter for the financial year. 
   • Sign the Final Report 
     

In order to give an opinion on the financial statement/reports the auditor shall conduct accuracy checks, observations, inspection of records and document, and interviewing the beneficiaries, inquiry and analysis, recommendation, comparison, , including:  

• Review vouchers, invoices and all supporting documents for all the amount expensed and income receipt   
• Follow up with the previous audit reports and comments 
• Review staff, rental, and other relevant contract 
• Review of payroll and tax compliance 
• Review the beneficiaries policies and compliances 
• Review the donor funded items’ inventory list in central and field offices

5.  Auditor Independence and Qualification  

The auditor must be completely impartial and independent from all aspects of management or financial interests in APEIRON. 

The audit firm/engagement partner must be a Chartered Accountant and registered with the Institute of Chartered Accountant of Nepal (ICAN). The firm must have at least five years of relevant and diversified professional experience in auditing with sizeable portfolio and experience in the audit of donor funded project, development sector, NGOs and INGOs. The auditor must employ adequate staff with appropriate professional qualifications, including experience in auditing the accounts of entities comparable in size and complexity to APEIRON. 

6.  Tentative Timetable: 

The audit assignment will take place from 1st August 2020 to 16th September 2020 including finalization of management letter and submission of the final report. 

7.  Access to Facilities and Documents: 

The financial systems are partly automated in FAMAS (Financial and Management Accounting System).  

The auditor will have full and complete access at any time to all records and documents (including books of account, legal agreements, minutes of committee meetings, bank records, invoices and contracts etc.) and all employees of the entity. The auditor will have a right of access to banks, consultants, contractors and other persons or firms engaged by the program management over the period under the audit review. 

8.  Audit Fee

The audit fee will be Rs. 125,000 (excluding VAT). Auditor shall submit an invoice after the completion of audit.

Out of pocket expenses will be reimbursed at actuals.

9.  Documents to be submitted 

The application shall contain following documents: 

1. Expression of Interest
2. Firm Registration and Renewal Documents
3. Previous Year’s Tax Clearance Certificate
4. Organization profile with relevant experiences 
5. Proposed Team for Audit

Audit Plan

The EOI should reach the address below via email or hand delivery by the 15 July 2020, 17 hrs (Nepal Local Time to: APEIRON, Tudaldevi Mandir, Baluwatar, Kathmandu . Nepal or Email: hradmin@apeironglobal.org Phone: 014444596