audit testing Flashcards
1
Q
7 features of an audit test
A
- receivables
- payables and provision
- inventory
- bank and cash
- share capital and reserves
- NCA
- estimates
2
Q
what should an audit procedure contain
A
an ACTION supplied to a SOURCE to achieve an OBJECTIVE
3
Q
what are assets and income tested for
A
overstatement
4
Q
liabilities and expenses tests for
A
understatement
5
Q
what does testing for understatement test
A
completeness
6
Q
what does testing for overstatement test
A
- valuation
- rights and obligation
- occurence
7
Q
understatement
A
if transaction or assets is acquired and not recorded
8
Q
overstatement
A
if a transaction or asset appears in FS that shouldnt be recorded
