CS Professional · June 2025 · Paper 4.2
CS Professional Internal and Forensic Audit June 2025: paper analysis
Our own analysis of the official paper, as of 12 October 2026. The questions and answers belong to ICSI; read them on ICSI's website.
Chapter-wise marks
Where the marks were in this paper (out of 100; internal-choice alternatives not double counted).
What each question tested
In our words, by question number. Open the official paper for the full question.
| Q | Marks | Tests | Chapter |
|---|---|---|---|
| 1(i) | 5 | Internal control questionnaire for revenue recognition and receivables management | Internal Audit Tools and Techniques |
| 1(ii) | 5 | Documentation to validate procurement compliance with trade rules and cost objectives | Internal Audit of Specific Functions |
| 1(iii) | 5 | Ensuring clarity of audit documentation and classifying evidence by origin and availability | Internal Audit Tools and Techniques |
| 2(a) | 5 | Objectives of information systems auditing and areas it covers | Internal Audit of Specific Functions |
| 2(b) | 5 | Internal audit applicability to a private company under the Companies Act and how it differs from external audit | Internal Audit: Introduction and Overview |
| 2(c) | 5 | Ways to understand an entity's accounting system and controls | Internal Audit Engagements and Planning |
| 3(a) | 5 | Objectives of a detailed internal audit plan and contents of an audit work plan under the SIAs | Internal Audit Engagements and Planning |
| 3(b) | 5 | Value of an opening meeting with functional heads and process walk-throughs in a bank concurrent audit | Internal Audit Engagements and Planning |
| 3(c) | 5 | Planning considerations for internal audit of a government medical college and hospital | Special Points relating to Internal Audit in various Entities |
| 4(a) | 5 | Exit meeting, stages of audit communication and contents of a management action plan | Reporting under Internal Audit |
| 4(b) | 5 | Controls when moving multi-location accounting to the cloud while preventing unauthorised changes | Internal Controls |
| 4(c) | 5 | Key review areas in auditing a manufacturer's procurement and supplier processes | Internal Audit of Specific Functions |
| 4A(i) | 5 | Classifying bank advances under RBI asset classification norms and computing provisions | Special Points relating to Internal Audit in various Entities |
| 4A(ii) | 5 | Liquidity risk from weak cash management and borrowing reliance: causes, consequences and remedial steps | Internal Audit of Specific Functions |
| 4A(iii) | 5 | Internal audit steps for third-party vendor oversight and data security after a vendor-caused breach | Emerging Issues and Challenges |
| 5(i) | 5 | Forensic steps to detect financial irregularities in a complex group structure | Audit and Investigations |
| 5(ii) | 5 | Investigating suspected siphoning of funds to an offshore subsidiary to evade tax | Audit and Investigations |
| 5(iii) | 5 | Methodology to establish fictitious paper exports | Fraud Detecting Techniques |
| 5(iv) | 5 | Investigating suspected collusion and corruption by sales staff | Audit and Investigations |
| 6(a) | 5 | Non-financial qualitative factors in a forensic evaluation of acquisition targets | Basic Concepts of Forensic Audit |
| 6(b) | 5 | Applying the fraud triangle: pressure, opportunity and rationalisation | Basic Concepts of Forensic Audit |
| 6(c) | 5 | Circumstantial evidence and tests for relying on it | Forensic Audit and Indian Evidence Law |
| 6(d) | 5 | Precautions for digital forensic experts collecting volatile data | Cyber Forensics |
| 6A(i) | 5 | Preliminary tests to detect ghost employees in payroll | Fraud Detecting Techniques |
| 6A(ii) | 5 | Matching general audit techniques to fraud detection objectives under SA 240 | Fraud Detecting Techniques |
| 6A(iii) | 5 | Undue advantage under the 2018 anti-corruption amendment and provisions on bribery by commercial organisations | Forensic Audit: Laws and Regulations |
| 6A(iv) | 5 | Essentials for evidence to be relied on in court and tests of relevancy | Forensic Audit and Indian Evidence Law |
What stood out
- Part I (Q1 to Q4, 60 marks) is internal audit and Part II (Q5 and Q6, 40 marks) is forensic audit; choice exists only between Q4 and Q4A and between Q6 and Q6A.
- Two long cases carry 35 marks: Q1 (15 marks) on revenue, receivables and procurement audit documentation, and Q5 (20 marks) on a multi-issue forensic investigation covering group irregularities, offshore fund diversion, fictitious exports and staff collusion.
- Entity and function specific application is common: cloud accounting controls, procurement review, a bank concurrent audit opening meeting, a hospital audit plan and bank advance classification with provisioning.
- Forensic theory focuses on the fraud triangle, evidence law (circumstantial evidence, relevancy) and digital evidence handling, with anti-bribery provisions in the Q6A alternative.
- Practical parts carry 55 marks across all listed entries versus 45 for theory, confirming an application-led paper.
Practise the chapters that carried the marks
Internal Audit of Specific Functions, Internal Audit Engagements and Planning, Audit and Investigations: study guides and practice questions in the CS Professional format.