The revised International Standard on Auditing (ISA) 315 introduces major changes in the approach to risk identification and assessment. The enhancements will affect the planning section of all audits, and audit firms of all sizes will need to revise their approach to risk assessment.

The changes will be effective for audits of financial statements for periods beginning on or after 15 December 2021. The effects of the revisions will be far-reaching and will require firms of all sizes to revise their approach to risk assessments.

This course explains how audits can be finalised effectively based on the 2022 version of CaseWare Probe Finalisation

Before the audit report can be signed, an audit file must be finalised and the evidence obtained reviewed to ensure the proper opinion is being expressed. The auditor may also have other reporting obligations that need to be considered.

Ensure your team members know how to assess whether or not enough evidence was obtained to substantiate your opinion and avoid practical pitfalls and deficiencies.

The following topics will be discussed in detail during the session:

• Sampling
• Related parties
• Risk assessment
• Identifying the related parties
• Performing specific fraud tests on related party transactions
• Testing the disclosure
• Significant transactions outside the normal course of business with or without related parties
• Litigation and claims
• Identifying a possible contingent liability and commitments
• Going concern
• Evaluate the client's plan
• Audit the cash flow forecast
• Subordination agreements and insolvencies
• Subsequent events
• Identifying the subsequent events
• Documenting the treatment
• Assessing the impact on the financial statements
• Final/Overall analytical review
• Reporting significant deficiencies to management in writing
• Evaluation of misstatements
• Reporting a NOCLAR or Reportable irregularity identified during the audit
  

The following CaseWare documents will be discussed

• 02.10 Subsequent events
• 02.20 Going concern
• 02.22 Subordination agreements
• 02.30 Overall analytical review
• 02.40 Evaluation of misstatements
• 02.50 Consideration of the audit report
• 02.55 key audit matters
• 02.00 Partner sign off