审计学原理英文课件-(5)

Chapter05AuditEvidenceandDocumentationMcGraw-Hill/IrwinCopyright©2014byTheMcGraw-HillCompanies,Inc.Allrightsreserved.ØThepossibilitythattheauditorsmayunknowinglyfailtoappropriatelymodifytheiropiniononfinancialstatementsthataremateriallymisstatedlThisistheriskthattheauditorswillissueanunqualifiedopiniononfinancialstatementsthatcontainamaterialdeparturefromGAAP.ØAuditorsmustobtainsufficientappropriateauditevidencetoreduceauditrisktoalowlevelineveryaudit.5-2ØRelevantassertionsarethosethat,withoutregardforcontrols,haveareasonablepossibilityofcontainingamaterialmisstatement;typeslAssertionsaboutaccountbalances(Accounts)lAssertionsaboutclassesoftransactionsandevents(Transactions)lAssertionsaboutpresentationanddisclosure(Disclosures)5-3AccountsTransactionsDisclosuresExistenceOccurrenceOccurrenceRightsandobligationsRightsandobligationsCompletenessCompletenessCompletenessValuationandallocationAccuracyAccuracyandvaluationCutoffClassificationClassificationandunderstandability5-4ØExistenceorOccurrence--Assets,liabilities,andequityinterestsexistandrecordedtransactionshaveoccurredØRightsandObligations--Thecompanyholdsrightstotheassets,andliabilityaretheobligationsofthecompanyØCompleteness--Allassets,liabilities,equityinterests,andtransactionsthatshouldhavebeenrecordedhavebeenrecordedØCutoff—TransactionsandeventshavebeenrecordedinthecorrectaccountingperiodØValuation,AllocationandAccuracy—Alltransactions,assets,liabilitiesandequityinterestsareincludedinthefinancialstatementsatproperamountsØPresentationandDisclosure--Accountsaredescribedandclassifiedinaccordancewithgenerallyacceptedaccountingprinciples,andfinancialstatementdisclosuresarecomplete,appropriate,andclearlyexpressed5-5RiskofMaterialxRiskAuditorsFailAuditRisk=MisstatementtoDetectMaterialMisstatement=InherentxControlxDetectionRiskRiskRiskØInherentRisk--Riskofamaterialmisstatementoccurringinanassertionassumingnorelatedinternalcontrols.ØControlRisk--Riskthatamaterialmisstatementinanassertionwillnotbepreventedordetectedonatimelybasisbythecompany’sinternalcontrol.ØDetectionRisk--Riskthattheauditors’procedureswillleadthemtoconcludethatamaterialmisstatementdoesnotexistinanassertionwheninfactsuchmisstatementdoesexist.5-6AR=IR*CR*DRAR=AuditriskIR=InherentriskCR=ControlriskDR=Detectionrisk5-7AuditRiskFigure5.25-8ØFactorsthataffectinherentrisk:lNatureoftheclientanditsenvironmentlNatureoftheparticularfinancialstatementelementØBusinesscharacteristicsindicativeofhighinherentrisk:lInconsistentprofitabilityofclientlOperatingresultshighlysensitivetoeconomicfactorslGoingconcernproblemslLargeknownandlikelymisstatementsdetectedinpriorauditslSubstantialturnover,questionablereputation,orinadequateaccountingskillsofmanagement5-9ØInvolve:lDifficulttoaudittransactionsorbalanceslComplexcalculationslDifficultaccountingissueslSignificantjudgmentbymanagementlValuationsthatvarysignificantlybasedoneconomicfactors5-10ØRoutinelRecurringfinancialstatementactivitiesrecordedintheaccountingrecordsinthenormalcourseofbusinesslLowerinherentriskØNonroutinelInvolveactivitiesthatoccuronlyperiodicallysuchasthetakingofphysicalinventorieslHighinherentriskØEstimationtransactionslActivitiesthatcreateaccountingestimateslHigherinherentrisk5-11Auditormustobtainsufficientappropriateauditevidence.ØTobeappropriateauditevidencemustbe:lRelevantlReliableØPrinciples—AuditevidenceisordinarilymorereliablewhenitislObtainedfromknowledgeableindependentsourcesoutsidethecompanyratherthannonindependentsourceslGeneratedinternallythroughasystemofeffectivecontrolsratherthanineffectivecontrols.lObtaineddirectlybytheauditorratherthanindirectlyorbyinferencelDocumentaryinformratherthanorallProvidedbyoriginaldocumentsratherthancopies5-12ØRiskassessmentprocedureslToobtainanunderstandingoftheclientanditsenvironment,includingitsinternalcontrol,toassesstherisksofmaterialmisstatementØFurtherAuditProcedureslTestsofcontrolslWhenappropriate,totesttheoperatingeffectivenessofcontrolsinpreventingmaterialmisstatementslSubstantiveprocedureslTodetectmaterialmisstatementsatrelevantassertionlevel.Substantiveproceduresinclude(a)analyticalprocedures,(b)testsofdetailsofaccountbalances,transactionsanddisclosures5-131.Inspectionofrecordsanddocuments2.Inquiryofknowledgeablepersonswithinoroutsidetheentity3.Externalconfirmation4.Inspectionoftangibleassets5.Observationofprocessesorproceduresbeingperformedbyothers6.Recalculationofmathematicalaccuracy.7.Reperformanceofprocedures8.Analyticalprocedures5-145-15ØAnalyticalproceduresØTestsofdetails•Testsofaccountbalances•Testsofclassesoftransactions•TestsofdisclosureslOnemaychangethescopeofauditproceduresbychangingthe(NTE,orre-orderedasNET):•Nature(typeandform)•Timing(whenperformed)•Extent(quantityofevidenceobtained)5-16Holdingtheextentofproceduresconstant,onemayincreasethescopeofprocedures(makethemmoreeffective)byeitherchangingthelNature--obtainmorereliableevidence•oftenexternallygeneratedevidence.lTiming--waituntilyear-endtoobtainevidencefromentiresetoftransactionsascontrastedtoperforminginterimtesting,saytwomonthsp