BU477 Chapter 9: BU477 Chapter 9 Notes
Document Summary
Audit evidence and associated decisions: nature of evidence. Used by the auditor to determine whether the fs is in accordance with the established criteria. Evidence is gathered and evaluated through the use of audit procedures (categories): risk assessment procedures: Procedures to obtain information for identifying and assessing risks of material misstatement in the fs due to fraud or error (planning: test of controls: Audit procedures designed to evaluate the operating effectiveness of controls at the assertion level: substantive procedures: Audit procedures designed to detect material misstatements in accounts which include tests of details and analytical procedures. Audito(cid:396)"s (cid:396)espo(cid:374)se to assessed (cid:396)isks: auditor needs to link completed audit work to the assessed risks at the assertion level (transactions, balances or fs disclosure), and document the conclusions and results of the audit procedures. Audito(cid:396)"s de(cid:272)isio(cid:374) o(cid:374) e(cid:448)ide(cid:374)(cid:272)e a(cid:272)(cid:272)u(cid:373)ulatio(cid:374): 1. Which risks could result in a risk of material misstatement at the assertion level: (cid:1006). Whi(cid:272)h audit p(cid:396)o(cid:272)edu(cid:396)es to use (cid:894)thei(cid:396) (cid:862)(cid:374)atu(cid:396)e(cid:863)(cid:895: (cid:1007).
