31386 paragraphs found
Controls over related party relationships and transactions within some entities may be deficient or non‑existent for a number of reasons, such as: The low importance attached by management to identifying and disclosing related party relationships and …
Fraudulent financial reporting often involves management override of controls that otherwise may appear to be operating effectively. [23] The risk of management override of controls is higher if management has relationships that involve control or …
Controls in smaller entities are likely to be less formal and smaller entities may have no documented processes for dealing with related party relationships and transactions. An owner‑manager may mitigate some of the risks arising from related party …
Authorisation and approval of significant transactions and arrangements (Ref: Para. 14(b) ) …
Authorisation involves the granting of permission by a party or parties with the appropriate authority (whether management, those charged with governance or the entity’s shareholders) for the entity to enter into specific transactions in accordance with …
Maintaining Alertness for Related Party Information When Reviewing Records or Documents Records or Documents That the Auditor May Inspect (Ref: Para. 15 …
During the audit, the auditor may inspect records or documents that may provide information about related party relationships and transactions, for example: Third‑party confirmations obtained by the auditor (in addition to bank and legal confirmations). …
An arrangement involves a formal or informal agreement between the entity and one or more other parties for such purposes as: The establishment of a business relationship through appropriate vehicles or structures. The conduct of certain types of …
Identification of Significant Transactions outside the Normal Course of Business (Ref: Para. 16 ) …