Certified Government Financial Manager (CGFM) Practice Exam 2025 – Your All-in-One Guide to Exam Success!

The rationale behind identifying a component that is not part of audit planning during fieldwork is essential for understanding the audit process. During the fieldwork phase of an audit, activities focus on collecting evidence, testing transactions, and confirming compliance with applicable standards and policies.

While defining objectives, preparing a written audit program, and identifying the scope or period of review are integral parts of the audit planning process, conducting financial transactions falls outside of this planning framework. Instead, it is a core function that typically occurs in the day-to-day operations of an organization.

Defining objectives is crucial as it sets the direction for the audit, ensuring that the auditor understands what they aim to achieve. Similarly, preparing a written audit program details the specific procedures and methodologies that will be used during the audit, and identifying the scope or period of review ensures that the audit focuses on the relevant time frame and areas that need scrutiny.

In contrast, conducting financial transactions is part of the organization's regular financial activities and not an aspect of audit planning. Therefore, it does not contribute to the strategic design of the audit process.