The correct answer is: When documenting the nature, timing and extent of audit procedures performed, the auditor shall record the identifying characteristics of the specific items or matters being tested; Audit documentation shall be prepared to enable an experienced auditor, with no previous connection with the audit, to understand the audit procedures performed, the results obtained, the significant matters arising and the conclusions reached; The final audit file should be assembled on a timely basis after the date of the audit report.

ISA 230 Audit documentation provides guidance on audit documentation. Audit documentation shall include the details of who prepared and reviewed the audit work, as well as the relevant dates of when the work was completed and reviewed.

Auditors are not required to document every matter that they consider during the course of the audit. However, they should prepare documentation that provides a sufficient and appropriate record of the basis for their report, as well as evidence that the audit was carried out in accordance with ISAs and relevant legislation.