Auditing Procedures & Practices: Audit Evidence

Author: Pat Patterson

This on-demand course deals with AU-C Section 500, Audit Evidence. AU-C Section 500 has a source of SAS No. 122; SAS No. 128 and a reference to section 9500 for interpretations. The AU-C section is effective for audits of financial statements for periods ending on or after December 15, 2012. This section explains what constitutes audit evidence in an audit of financial statements and addresses the auditor's responsibility to design and perform audit procedures and to obtain sufficient appropriate audit evidence, to be able to draw reasonable conclusions on which to base the auditor's opinion.

This course defines audit evidence, defines relevant assertions, and discusses their use in assessing risks and designing appropriate further audit procedures. The webinar also discusses qualitative aspects that the auditor considers in determining the sufficiency and appropriateness of audit evidence. Further, the session describes various audit procedures and discusses the purposes for which they may be performed.

Publication Date: July 2018

Designed For
CPAs who are either auditors in public practice, professionals in businesses being audited, professionals in government, professionals in education, or anyone with a need to understand what audit evidence is about.

Topics Covered

• The objective of the auditor to obtain audit evidence
• Definitions around generally accepted auditing standards (GAAS)
• Requirements for sufficient appropriate audit evidence
• Inconsistency in, or Doubts Over Reliability of, Audit Evidence
• What is sufficient appropriate audit evidence
• The use of assertions in obtaining audit evidence
• Sources of audit evidence
• Audit procedures for obtaining audit evidence
• Information to be used as audit evidence
• Reliability of information produced by a management's specialist
• Information produced by the entity and used for the auditor's purposes
• Inconsistency in, or doubts over reliability of, audit evidence

Learning Objectives

• Identify and examine the AICPA Professional Standards concerning AU-C Section 500, Audit Evidence
• Describe International Audit Standards and comparison to some selected AICPA Audit Standards
• Identify updates to the ASB's Proposals and Agendas
• Differentiate AU-C sections
• Recognize the steps an auditor should take when information is to be used as audit evidence prepared for the work of a management's specialist
• Differentiate statements with respect to reliability of audit evidence
• Identify the procedures that should be performed in order to evaluate the appropriateness of the work of a management specialist
• Describe statements relating to sufficient appropriate audit evidence
• Recognize what an auditor should consider when designing and performing audit procedures for the information to be used as audit evidence
• Identify substantive procedures designed to detect material misstatements
• Describe GASB Statement No. 67 effective for financial statements

Level
Intermediate

Instructional Method
Self-Study

NASBA Field of Study
Auditing (2 hours)

Program Prerequisites
Basic understanding of generally accepted auditing standards.

Advance Preparation
None