Direct Assistance

Question 1

What does direct assistance refer to?

Answer 1

Use of internal auditors to perform audit procedures under the direction, supervision and review of the external auditor

Question 2

ISA 610 prohibits the use of internal auditors to provide direct assistance to perform procedures that (judgements)

Answer 2

Involve making significant judgements in the audit

Question 3

ISA 610 prohibits the use of internal auditors to provide direct assistance to perform procedures that (internal auditors)

Answer 3

Relate to work with which the internal auditors have been involved

Question 4

ISA 610 prohibits the use of internal auditors to provide direct assistance to perform procedures that (internal audit function)

Answer 4

Relate to decisions the external auditors makes regardining the internal audit function and the use of its work or direct assistance

Question 5

ISA 610 prohibits the use of internal auditors to provide direct assistance to perform procedures that (higher assessed risks)

Answer 5

Relate to higher assessed risks of material misstatement where more than a limited degree of judgment is required

Question 6

Example of higher assessed risks of material misstatement where more than a limited degree of judgment is required

Answer 6

Assessing the valuation of accounts receivable, internal auditors may be assigned to check accuracy of receivables ageing, but may not be involved in evaluating the adequacy of provision for irrecoverable receivables