In order to accomplish the APA's mission, audits must be both comprehensive and diversified. An audit of a state agency, a program, an activity, or a function could include the following types:
- Financial Statement — determines (a) whether an audited agency's financial statements present fairly the financial position, results of operations and cash flows or changes in financial position in accordance with generally accepted accounting principles or another comprehensive basis of accounting; and (b) whether the entity has complied with laws and regulations that may have a material effect on the financial statements. (See CAFR Audit and Federal Single Audit)
- Other Financial — determines (a) whether financial reports and related items such as elements, accounts or funds are fairly presented, (b) whether financial information is presented in accordance with established or stated criteria; and (c) whether the entity has adhered to specific compliance requirements. (See Statutory Audits)
- Economy and Efficiency — determines (a) whether the entity is acquiring, protecting and using its resources (such as personnel, property and space) economically and efficiently; (b) the causes of inefficiencies or uneconomical practices; and (c) whether the entity has complied with laws and regulations pertaining to economy and efficiency.
- Program Effectiveness — determines (a) whether the desired results or benefits that the legislature or other authorizing bodies establish are being achieved; and (b) the effectiveness of organizations, programs, activities or functions, and whether the entity has complied with laws and regulations applicable to the program.
- Compliance — determines whether established laws, regulations, contract provisions, grant agreements and other requirements that could affect the acquisition, protection, use, and disposition of the entity’s resources and the quantity, quality, timeliness, and cost of services the entity produces and delivers are being complied with.
- Prospective Analysis — using information that is based on assumptions, determines events that may occur in the future along with possible actions that the audited entity may take in response to the future events.
The APA is responsible for informing an auditee of any audit results so that the auditee may take corrective action.