Audit procedures to perform to address audit risk during an audit of financial statements

Price:
R276.00 (VAT Incl.)
Level:
Auditing Professionals
Sub-level:
Auditing
Lecturer:
Lynette Badenhorst
Duration:
165 Minutes
Additionals:
   CPD Assessment
   Certificate

Lesson Outline

Overview:

There are many references throughout the ISAs to audit risk. During this lesson, I will discuss a 10-point plan for auditors to identify and address the different components of risk during an audit of financial statements.

I will also explain which type of audit procedures should be performed to address the different components of risk.

Content:

  • What is audit risk
  • Assessment of inherent risk
  • Assessment of control risk
  • Assessment of fraud risk
  • Detection risk
  • Significant risks
  • Presumed risks
  • Revenue testing
  • Seven steps to perform to test journal entries
  • Auditing accounting estimates
  • Transactions outside the normal course of business
  • Business risks
  • Risk of material misstatement (ROMM)
  • Desired audit risk What does all these terms mean and how does it fit into a risk-based audit approach?