As part of identifying the controls and evaluating their design and determining whether they have been implemented, the auditor may consider: How management determines the appropriateness of the data used to develop the accounting estimates, including …

When management makes extensive use of information technology in making an accounting estimate, identified controls in the control activities component are likely to include general IT controls and information processing controls. Such controls may …

In some industries, such as banking or insurance, the term governance may be used to describe activities within the control environment, the entity’s process to monitor the system of internal control, and other components of the system of internal …

For entities with an internal audit function, its work may be particularly helpful to the auditor in obtaining an understanding of: The nature and extent of management’s use of accounting estimates; The design and implementation of controls that address …

Reviewing the Outcome or Re‑Estimation of Previous Accounting Estimates (Ref: Para.  14 ) …

A review of the outcome or re-estimation of previous accounting estimates (retrospective review) assists in identifying and assessing the risks of material misstatement when previous accounting estimates have an outcome through transfer or realisation of …

A retrospective review may provide audit evidence that supports the identification and assessment of the risks of material misstatement in the current period. Such a retrospective review may be performed for accounting estimates made for the prior …

A retrospective review of management judgements and assumptions related to significant accounting estimates is required by ASA 240. [41]  As a practical matter, the auditor’s review of previous accounting estimates as a risk assessment procedure in …

Based on the auditor’s previous assessment of the risks of material misstatement, for example, if inherent risk is assessed as higher for one or more risks of material misstatement, the auditor may judge that a more detailed retrospective review is …

The measurement objective for fair value accounting estimates and other accounting estimates, based on current conditions at the measurement date, deals with perceptions about value at a point in time, which may change significantly and rapidly as the …