94 paragraphs found
The following application material on internal control is presented in four sections, as follows: General Nature and Characteristics of Internal Control. Controls Relevant to the Audit. Nature and Extent of the Understanding of Relevant Controls. …
Application material relating to the five components of internal control as they relate to a financial report audit is set out in paragraphs A77-A121 below. Appendix 1 provides further explanation of these components of internal …
Control activities relevant to the audit may include controls established by management that address risks of material misstatement related to disclosures not being prepared in accordance with the applicable financial reporting framework, in addition to …
In addition, in accordance with ASA 240, [7] if the internal audit function provides information to the auditor regarding any actual, suspected or alleged fraud, the auditor takes this into account in the auditor’s identification of risk of material …
In addition, audit evidence for elements of the control environment in smaller entities may not be available in documentary form, in particular where communication between management and other personnel may be informal, yet effective. For example, small …
When obtaining an understanding of controls that are relevant to the audit, the auditor shall evaluate the design of those controls and determine whether they have been implemented, by performing procedures in addition to enquiry of the entity’s …
Some smaller entities may not have interim or monthly financial information that can be used for purposes of analytical procedures. In these circumstances, although the auditor may be able to perform limited analytical procedures for purposes of planning …
… of the risk assessment as described in paragraph 25 of this Auditing Standard, the auditor shall determine whether any …
See ASA 220 Quality Control for an Audit of a Financial Report and Other Historical Financial Information , paragraph 14 . …
Risk assessment procedures to obtain audit evidence about the design and implementation of relevant controls may include: Enquiring of entity personnel. Observing the application of specific controls. Inspecting documents and reports. Tracing transactions …