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Financial Statement Audits for New Auditors: Further Procedures (Currently Unavailable)

CPE Credit:

1 hour for CPAs

The Financial Statement Audits for New Auditors series of courses is focused on assisting new staff moving into an audit practice of non-public business entities (PBEs). These courses will help staff on their first audit engagement. This is part three of the three part series.

Publication Date: August 2019

Designed For
For entry-level, newly designated in-charge and managers in public practice.

Topics Covered

Assertions
Test of controls
Extent of testing for a test of controls
Substantive testing
Tests of details
Analytical procedures as a substantive procedure
Examples of analytical procedures
How further audit procedures are developed
Timing of further audit procedures

Learning Objectives

Identify and list assertions addressed during an audit
Recognize and explain how the Risk of Material Misstatement (RMM) is used to determine the types of Further Audit Procedures to perform
Describe and explain the types of further audit procedures (Test of Controls and Substantive (Test of Details of Transactions and Balances and Analytical Procedures))
Describe how specific further audit procedures are developed based on RMM
Recognize which assertions could be relevant to a material balance of long term debt liability
Identify judgmentally determined factors which have a significant impact on the size of a sample
Recognize which analytical procedures is relying on the most reliable data
Recognize the assessed RMM
Identify reasonable steps to take, if an exception is identified during the course of a test of controls over an internal control
Identify what would be a reasonable way to structure an analytical procedure, considering the relationship implied in the calculation
Recognize the most appropriate approach to further audit procedures

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Auditing (1 hour)

Program Prerequisites
None

Advance Preparation
None

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