analytical procedures

Question 1

analytical procedures serve 3 purposes

Answer 1

planning for risk assessment (required)

for substantive purposes (widely used but not required)

as a final review (required)

Question 2

analytical procedures def

Answer 2

evaluation of financial info through analysis of plausible relationships among both financial and non financial data.

sometimes referred to as tests of reasonableness

can be simple comparisons or may be more involved such as ratios and trend analysis