94 paragraphs found
The discussion among the engagement team about the susceptibility of the entity’s financial report to material misstatement: Provides an opportunity for more experienced engagement team members, including the engagement partner, to share their insights …
The auditor shall obtain an understanding of control activities relevant to the audit, being those the auditor judges it necessary to understand in order to assess the risks of material misstatement at the assertion level and design further audit …
Obtaining an understanding of an entity’s controls is not sufficient to test their operating effectiveness, unless there is some automation that provides for the consistent operation of the controls. For example, obtaining audit evidence about the …
During the audit, information may come to the auditor’s attention that differs significantly from the information on which the risk assessment was based. For example, the risk assessment may be based on an expectation that certain controls are operating …
The manner in which the requirements of paragraph 32 are documented is for the auditor to determine using professional judgement. For example, in audits of small entities the documentation may be incorporated in the auditor’s documentation of the overall …
Appropriate individuals within the internal audit function with whom enquiries are made are those who, in the auditor’s judgement, have the appropriate knowledge, experience and authority, such as the chief internal audit executive or, depending on the …
The objectives and scope of an internal audit function, the nature of its responsibilities and its status within the organisation, including the function’s authority and accountability, vary widely and depend on the size and structure of the entity and …
The auditor’s previous experience with the entity and audit procedures performed in previous audits may provide the auditor with information about such matters as: Past misstatements and whether they were corrected on a timely basis. The nature of the …
The auditor is required to determine whether information obtained in prior periods remains relevant, if the auditor intends to use that information for the purposes of the current audit. This is because changes in the control environment, for example, may …
Risks of material misstatement at the assertion level for classes of transactions, account balances, and disclosures need to be considered because such consideration directly assists in determining the nature, timing, and extent of further audit …