Lecture 15

Question 1

Audit evidence =

Answer 1

All information used by auditor to arrive at conclusions the auditor’s report is based on

Question 2

2 key attributes of audit evidence

Answer 2

• Sufficiency

- Appropriateness (source of evidence and circumstances obtained)

Question 3

Procedures to obtain evidence AEIOU

Answer 3

Analytical procedures
Enquiry and confirmation
Inspection
Observation
recalcUlation and reperformance

Question 4

Management letter points (PIOs - performance improvement observations)

Answer 4

Points to cover off and discuss in completion meeting, prepared by auditor. Must relate implication for business. Part of HLM or sep doc. Ranking/ traffic light system

Question 5

Management letter points > management response

Answer 5

Draft formal response

Question 6

Written representations ISA

Answer 6

ISA 580

Question 7

Written representations =

Answer 7

Written statements by management provided the auditor can confirm certain matters/ support with other evidence

Question 8

Written representations CANNOT

Answer 8

Substitute more reliable evidence, and not sufficient on own

Question 9

Completion meeting

Answer 9

All relevant points formally tabled. Include SUAD tracker/ MLP/ how audit went