A fixed assets internal audit programme tests capex approval, CWIP ageing, capitalisation, fixed asset register completeness, tagging, physical verification, depreciation, disposal, impairment, insurance and ERP access.
Fixed asset errors build slowly and become expensive: incorrect capitalisation, idle CWIP, missing assets, wrong depreciation and unsupported disposals affect both controls and reporting.
Objective: Capital projects are approved and monitored.
Capex note, PO, invoice, project tracker, CWIP ageing.
High-value additions and aged CWIP.
Objective: Assets are recorded when ready for use and classified correctly.
Completion certificate, FAR, GL, asset tag records.
Additions and material asset classes.
Objective: Assets exist, are tagged and are safeguarded.
Verification report, variance approval, insurance schedule, location list.
High-value/mobile assets and exception locations.
Objective: Asset accounting is accurate and approved.
Depreciation run, disposal approval, sale invoice, bank receipt, impairment note.
Material additions/disposals and idle assets.
ICAI IASB lists the Compendium of Standards on Internal Audit as on February 2026 as applicable from 1 April 2026. Use this page as a practical workpaper starter, then verify the latest standard, law, regulation, ERP report and client fact pattern before concluding.
It should cover capex approval, CWIP, capitalisation, FAR, tagging, physical verification, depreciation, disposal, impairment, insurance and ERP access.
No. It is a fieldwork starter. The internal auditor must tailor it to the approved scope, ERP, delegation matrix, locations, volumes, materiality, prior findings and current legal position.
Yes. Use the linked CORAA workbook for the cycle. It contains editable RCM, testing, evidence and monitoring sheets that can be used as a fieldwork base.
