THE GUIDE IS INTENDED FOR USE BY INDEPENDENT ACCOUNTANTS, INTERNAL AUDITORS, AND STATE AUDITORS AS A SUPPLEMENT TO THE AUDIT PROCEDURES PUBLISHED IN 'STANDARDS FOR AUDIT OF GOVERNMENTAL ORGANIZATIONS, PROGRAMS, ACTIVITIES, AND FUNCTIONS.' SPECIFICALLY, THE AUDIT (OF NDSL, CWS, OR SEOG) PROCEDURES ARE INTENDED TO DETERMINE IF FINANCIAL OPERATIONS ARE PROPERLY CONDUCTED, IF FINANCIAL REPORTS ARE PRESENTED FAIRLY, AND IF APPLICABLE LAWS AND REGULATIONS HAVE BEEN MET. GENERAL REQUIREMENTS FOR PERFORMING AND REPORTING AUDITS ON THE AFOREMENTIONED PROGRAMS INCLUDE THE AUDITOR'S TESTING OF THE INSTITUTION'S PROGRAM ACCOUNTS, CONFIRMATION OF STUDENT PARTICIPATION AND ACCOUNTS RECEIVED SO AS TO RENDER A JUDGMENT ON THE FINANCIAL STATEMENTS, AND A STATEMENT OF CONCLUSIONS ON THE COMPLIANCE ASPECTS OF THE PROGRAM'S OPERATION. THE GUIDE PRESENTS AUDIT OBJECTIVES, REFERENCE MATERIALS, AND GENERAL AUDIT PROCEDURES FOR EACH AREA OF AUDIT COVERAGE REQUIRED. THE APPENDIXES CONTAIN INFORMATION AND SAMPLE MATERIALS RELATED TO THE IMPLEMENTATION OF AUDIT REQUIREMENTS FOR THE THREE PROGRAMS. (RCB)