An independent examination and subsequent expression of opinion on the financial statements of an organization, involving collecting evidence through compliance and substantive tests.
Audit evidence encompasses the information and data collected by auditors to form an audit opinion on the financial statements of an enterprise. This evidence is derived from a variety of sources and through different methodologies to ensure the accuracy and reliability of the financial statements.
A document outlining the strategy for managing inherent and control risks in relation to the financial statements of an audit client.
The Audit Programme is a document outlining individual audit tests to be performed as per the audit plan to ensure that the accounting system operates efficiently and effectively.
Audit risk refers to the risk that auditors fail to qualify their audit report when the financial statements are materially misleading, i.e., do not provide a true and fair view. Audit risk is comprised of three components: inherent risk, control risk, and detection risk.
Computer programs used by auditors to examine an enterprise's computer files and review the system for compliance tests and substantive tests.
An in-depth look into the purpose and different types of audit tests, including compliance tests and substantive tests, which are crucial for assessing the accuracy and completeness of financial statements.
Techniques developed by auditors for performing compliance tests and substantive tests on computer systems for firms in which the data being audited is processed by computers and held on computer files.
The extent of the errors that an auditor expects to find when performing substantive tests on a population or a sample of it.
An Internal Control Questionnaire (ICQ) is a structured document used by auditors to evaluate the effectiveness of an organization's internal control system. By answering tailored questions, auditors can identify strengths and weaknesses within different operational cycles.
Audit tests designed to check the completeness, ownership, existence, valuation, and disclosure of the information contained in the accounting records and financial statements of an organization being audited.
An approach to auditing focused on evaluating an organization's internal control system to determine the quality of its accounting system, thereby assessing the required level of substantive testing for financial statements.
