Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question Audit Evidence & Assertions According to ASA500 Audit Evidence the auditor should obtain sufficient appropriate audit evidence on which to base their audit opinion.

Question Audit Evidence & Assertions

According to ASA500 Audit Evidence the auditor should obtain sufficient appropriate audit evidence on which to base their audit opinion. Required: For each audit procedure listed in the table below, indicate: (a) one management assertion to which it relates, and (b) the type of audit evidence obtained by each procedure.

Audit Procedure (a) ManagementAssertion (b) Type of Evidence

Example: Select a sample of non-current assets and inspect them. Existence(mngt assertion) Physical(evidence)

1. A confirmation was sent to the clients bank

2. Use CAATs to compare sales prices on a sample of sales invoices with the master price file

3. Attend and observe the clients inventory stock take.

4. Re-perform the clients ageing of accountsreceivables.

5. Enquire with the companys solicitor about a possible law suit involving the audit client.

6. Inspect purchases invoices recorded after the year-end to establish proper cut-off.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Global Financial Accounting And Reporting Principles And Analysis

Authors: Peter Walton, Walter Aerts

1st Edition

1844802655, 9781844802654

More Books

Students also viewed these Accounting questions

Question

Learning is a good thing for everyone. Discuss.

Answered: 1 week ago

Question

What should be the role of managers in HRD?

Answered: 1 week ago

Question

What should be the role of government in HRD?

Answered: 1 week ago