Response to Audit Query
[Company Letterhead]
Date: [DD/MM/YYYY]
To,
The Auditor
[Audit Firm Name]
[Address]
Subject: Response to Audit Query No. [Query Ref.] dated [DD/MM/YYYY]
Dear Sir/Madam,
We refer to your audit observation raised during the [statutory / internal] audit for the financial year [FY], regarding [brief description of the observation, e.g. difference in ledger balance / pending reconciliation].
At the outset, we appreciate the observation. We wish to submit that the said matter arose on account of [reason / explanation]. The relevant supporting documents, namely [list of documents], are enclosed for your kind reference.
By way of corrective action, we have [action taken, e.g. passed the rectification entry / updated the reconciliation / strengthened the internal control] and have put in place measures to prevent recurrence in future periods.
We trust the above clarification and supporting records address your query. Please feel free to reach out for any further information.
Thanking you,
For [Company Name]
[Name]
[Designation]