A majority of the IRBA audit findings are on the planning section of an audit file, which indicates a lack of understanding of the documentation requirements.
Incorrect planning can also lead to over or under-auditing.

Ensure that your team members understand the importance of planning and know exactly what is required on the audit file to ensure that the audit is performed effectively and efficiently.

This course explains how audits can be planned and performed effectively on Draftworx, using the software to improve audit efficiency while maintaining audit quality.

This course is based on the new ISA 315 and 330
New terminology, concepts and requirements

• New assertions and combinations of assertions
• New Risk Assessment Procedures (RAP) to obtain an understanding of the entity and its environment
• Document the sources of information from which the understanding was obtained
• Class Of Transaction or Account Balance ("COTAB")
• Individual Account Balance, Class of Transaction and Other Disclosure ("COTABD")
• Significant Classes Of Transactions, Account Balances and Disclosures (“SCOTABD)
• Transactions Related to Account Balances (“TRAB”)
• Relevant assertions
• Controls to be identified for purposes of evaluating the design of a control and determining whether the control has been implemented
• Identification of the risk of material misstatement at the assertion level for COTABD and then assess only the identified risks of material misstatement at the assertion level
• Consideration of whether automated tools and techniques should be used to assist with obtaining an understanding of the entity and its environment and to perform risk assessment procedures
• Extent of work needed for indirect and direct controls
• Use of inherent risk factors
• Spectrum of inherent risk
• Likelihood and magnitude of a possible misstatement on a range from higher to lower, when assessing risks of material misstatement
• “Stand-back" provision to evaluate the completeness of SCOTABD
• Design and perform substantive procedures for each material COTABD
• Substantive procedures for SCOTABD, i.e., those with relevant assertions
• Assertions to be tested for material COTABD. After attending this course delegates will have a thorough understanding of the following:
• Identifying the overall risk in accepting the engagement
• Drafting an appropriate engagement letter for a new
• Obtaining an understanding of the entity and its environment and documenting this information in the appropriate format (RAP)
• Obtaining an understanding of the entity’s information system and control activities
• Evaluating and documenting the risk of material misstatement at an overall financial statement level
• Evaluating and documenting the risk of material misstatement at the account balance level by assertion
• Evaluating and documenting the risk of fraud
• Identifying and documenting the significant risks that could result in a material misstatement
• Identifying and documenting the factors that affect planning materiality and performance materiality
• Calculating and documenting a justifiable level of planning and performance materiality
• Identifying and documenting appropriate tests of internal controls,significant risk responses, required procedures, extended analytical procedures, extended tests of detail and sampling.

The delegates will be provided with a case study including all the information necessary regarding the client to perform the planning section.