Audit procedures for obtaining audit evidence, Auditing

Assignment Help:

Question:

Part A

(i) List and define five audit procedures for obtaining audit evidence.

(ii) Why is it necessary to obtain corroborating evidence for inquiry and observation?

(iii) What is the difference between test of transactions and tests of balances?

Part B

The auditor finds it necessary to rely on audit evidence that is persuasive rather than conclusive and will often seek audit evidence from different sources or of a different nature to support the same assertion. The reliability of audit evidence is not only important in determining sufficiency (quantity) of the information, but also the appropriateness (quality) of the information. Reliability of audit evidence is influenced by its source and its nature.

Required:-

(i) Define the following terms:

a. Reliability of evidence;
b. Persuasiveness of evidence;
c. Relevance of evidence

(ii) Why does an auditor prefer persuasive evidence as opposed to conclusive evidence?

Related Discussions:- Audit procedures for obtaining audit evidence

Proxy, if a proxy is voted as per his judgement other than member prescribe...

if a proxy is voted as per his judgement other than member prescribed to him... what is the action to be taken?

Auditing, For each ethical threat explain how it might be avoided?

For each ethical threat explain how it might be avoided?

Action if management refuses to provide representations, Action if Manageme...

Action if Management Refuses to Provide Representations If management refuses to provide a representation that the auditor considers essential, this constitutes a scope restric

Effevtivenss of stock verification, what factors of stoc verification

what factors of stoc verification

Stock verification and stock verefier, what are the qualities of stock veri...

what are the qualities of stock verifier

Audit evidence, why are the figures presented to an auditor not sufficient ...

why are the figures presented to an auditor not sufficient for absolute reliance

Deferred taxation - audit process, Deferred Taxation - Audit Process D...

Deferred Taxation - Audit Process Deferred Taxation results from the fact such the income tax department require different rules for calculating profits from those used throug

Describe audit sampling, Question: Part A (i) Describe audit samplin...

Question: Part A (i) Describe audit sampling. Why do auditors sample instead of examining every transaction? (ii) List the four factors that enter into the sample size

Audit assurance, You are the auditor of ABC Company and the audit process i...

You are the auditor of ABC Company and the audit process is almost complete. The audit report is due to be signed next week. However, the following additional information on two ma

Explain how to do an internal audit effectively, With internal audit we alw...

With internal audit we always require to be careful of any manipulations within the company itself. Errors & frauds within the company cannot be denied /overlooked at any cost.

Write Your Message!

Name

Email id

Message

Verfication Code

User Account

All Pages