Chapter 6 Evidence Chapter 6. Audit Evidence Why does the auditor - PowerPoint PPT Presentation

Chapter 6 Evidence

Chapter 6. Audit Evidence Why does the auditor need evidence ? 1. Sufficient, appropriate evidence 2. • Sources of audit evidence 3. The impact on the audit approach 4. Types of audit procedures 5. Sampling 6. Computer Assisted Audit Techniques (CAATs) 7. Relying on the work of others 8.

Audit Assertions 4 Key Auditing Questions:

How auditor extract evidence? Sources of audit evidence: Sources of Evidence Test of Substantive Controls Procedures Test of Analytical Details Procedures

Means of Getting Audit Evidence Analytical Review Enquiry & RepErformance Inspection (records as well as assets) Observation & COnfirmation RecalcUlation

Sampling SAMPLING Using Random Not using random Selection / selection / Probability Theory Probability theory Statistical Non-Statistical