> For the complete documentation index, see [llms.txt](https://engyon.gitbook.io/engyon/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://engyon.gitbook.io/engyon/training/training-english/module-9-findings.md).

# Module 9: Findings

Within Engyon, auditors can document `Findings` to record and follow up on deficiencies, risks, or corrections identified during the audit. Findings can be qualitative or quantitative in nature and can be linked to procedures, audit units, or financial statement line items.

By using findings, the audit team can communicate in a structured way, document corrections, and share relevant information with the client.

In this module, we will create different types of findings, share them with the client, and then evaluate them.

### Creating a Finding from a Procedure

1. Navigate to `Procedures` and open your assigned procedure.
2. Create a `Finding` by clicking the finding icon next to an activity, or by scrolling down to `Findings` at the bottom of the screen and clicking the add button.
3. Create a finding by selecting `Internal Control Deficiency`, or choose to create an `Audit Difference` and then select `Qualitative Audit Difference`.

   > **Note:** When creating an `Audit Difference` finding, you can choose between a `Qualitative Audit Difference` and a `Quantitative Audit Difference`.
4. Give your finding a `Title` and select a `Severity`.

### Creating a Quantitative Finding on a Financial Statement Line Item

5. Navigate to the `Risk Response` page using the navigation menu.
6. Select the financial statement line item for which you want to create a finding by clicking its title.
7. On the financial statement line item detail screen, open the findings tab in the top-right corner and create a quantitative finding.
8. For the finding, you must define a `Title`, `Severity`, `Nature`, and `Type`.

   > **Tip:** To be able to create corrections on the finding later, we recommend creating the finding on a financial statement line item for which financial data has been imported. This may mean that you need to use the group icon in the top-left corner to navigate to a component where the trial balance has been imported.
   >
   > **Tip:** Findings created at financial statement line item level are always quantitative.

### Reviewing and Sharing Findings with the Client

9. All findings created by the audit team can be found on the `Findings` page using the navigation menu.
10. All findings are initially still in `Draft`. This means they have not yet been shared with the client.
11. Move the `Qualitative misstatement` out of draft by clicking the finding and following the checklist on the left-hand side of the detail screen:
    1. Define a description.
    2. Define a recommendation.
    3. Close the specification and have it reviewed by an `Auditor` or `Engagement Leader`, or approve it yourself if you have the required permissions.
12. The finding is now visible to the client.
13. On a qualitative finding, you can only share comments with the client. The client will immediately see comments on a finding that is no longer in `Draft`.

### Defining Corrections on Quantitative Findings

14. Navigate back to the `Findings` page.

    You can choose to remain at component level or navigate back to group level. All findings at component level are consolidated at group level.
15. Open your quantitative misstatement. You can recognize quantitative misstatement by the quantitative misstatement![](/files/Jk7LgV0KzhbHdduy7y4j) icon.
16. Follow the steps in the checklist.
17. For a quantitative finding, the checklist includes an additional step: `Define Corrections`.
18. The detail screen also contains an additional `corrections` tab in the top-right corner.
19. Click `+ Correction` and add a correction.

    A general ledger account with a recommendation icon is suggested based on the financial statement line item on which the finding was created.

    > **Note:** Corrections can only be created while a finding is still in `Draft`. If corrections on a shared finding need to be adjusted, the specification of the finding must be reopened by clicking the `Status` bar. The finding must then be moved out of `Draft` again so that the client can see the updated corrections.

### Evaluating Corrections

20. Navigate back to the `Findings` page.
21. Click the corrections overview button in the top-right corner to view all corrections![](/files/KS9RGoD4rC1GNIOxfUb8).

    This can be done at either group level or audit unit level.

    > Findings that are marked as `Resolved`, selected as the conclusion in the detail screen, are categorized as `Accepted` in the corrections evaluation screen. All other findings are automatically categorized as `Rejected`.