Audit and Assurance-AA

This article will consider the various sampling methods in the context of AA and FAU. Paper F8, Audit and Assurance and Paper FAU, Foundations in Audit require students to gain an understanding of audit sampling. While you won’t be expected to pick a sample, you must have an understanding of how the various sampling methods work. This article will consider […]

This article outlines and explains the concept of audit risk, making reference to the key auditing standards which give guidance to auditors about risk assessment Relevant to FAU, F8 and P7 Identifying and assessing audit risk is a key part of the audit process, and ISA 315, Identifying and Assessing the Risks of Material Misstatement Through Understanding the Entity and

It is essential that candidates preparing for the Audit and Assurance (AA) exam understand the respective responsibilities of auditors and management regarding going concern. This article discusses these responsibilities, as well as the indicators that could highlight where an entity may not be a going concern, and the reporting aspects relating to going concern. Candidates attempting AA will need to have

One of the major revisions of ISA 315 relates to the inquiries made by external auditors of the internal audit function since internal auditors have better knowledge and understanding of the organisation and its internal control. This article addresses and highlights the components of internal control The International Auditing and Assurance Standards Board (IAASB) issues International Standard on Auditing (ISA)

The purpose of this article is to provide candidates with a more detailed appreciation of matters pertinent to an auditor, focusing on the need for the auditor of a large limited liability company (in the UK – a limited company) to evaluate the effectiveness of the company’s control environment ISA 315, Identifying and Assessing the Risks of Material Misstatement through

Relevant to candidates attempting Foundations in Audit and Audit and Assurance This article focuses on the audit of wages but many of the points made also apply to salaries (the term payroll covers both). The distinction between the two is that wages are normally paid weekly in cash to employees working in departments such as production. Salaries, on the other

Can internal auditors be used to provide direct assistance to the external auditor for purposes of audit? Relevant to ACCA Qualification exams AA and AAA International Standard on Auditing (ISA) 610, Using the Work of Internal Auditors was revised and published in 2013. This standard focuses on whether the external auditor can use the work of the internal audit function for purposes

An important part of an external audit is the consideration by the auditor as to whether the client has complied with laws and regulations. It is important that candidates preparing for Audit and Assurance (AA) and Advanced Audit and Assurance (AAA) have an understanding of how laws and regulations affect an audit, not only in terms of the work the auditor is

Relevant to ACCA Qualification exams AA and AAA The International Auditing and Assurance Standards Board (IAASB) finalised its project on auditor reporting in 2015, which resulted in a set of new and revised standards on auditor reporting as well as revised versions of ISA, 570Going Concern and a number of other International Standards on Auditing (ISAs). Candidates attempting Audit and Assurance

This article will focus on assertions as identified by ISA 315 (Revised) and also provides useful guidance to candidates on how to tackle questions dealing with these. Interim and final audit procedures During the interim audit, the internal control system is documented and evaluated. This will determine the mix of tests of control and substantive procedures but both will tend