Valuation, Allocation and accuracy assertions auditing procedures include
I-dependent recalculation
F-ooting
R-econcilliation
I-nspection
Completeness assertion auditing procedures
O-bservation
T-racing
A-nalytical review
Existence and occurrence assertions include auditing procedure
C-onfirmation O-bservation, I-nspection V-ouching E-xamination
Understanding and classification assertions audit procedures include?
I-nquiry of management
R-eview
I-nspection
Assertions of F/S include
C-ompleteness cut-O-ff V-aluation, allocation and accuracy E-xistence and Occurance R-ights and Obligations U-nderstandability and classification
When an Analytical procedure is used as the principle substantive test of a significant financial statement assertion, the auditor is required to document the:
- C-omparison of the expectation to recorded amounts
- R-esults of additional procedures
- E-xpection of auditor
- E-xpecation development factors considered
- P-rocedures performed in addition in response to significant UNEXPLAINED differences
Vouching order
- Financial Statements
- Trial Balances
- General Ledger
- Subsidiary Ledger
- Books of Original Entry
- Source Documents
- Execution of Event
- Transaction Approved
Vouching tests and risks
Tests
- Existence/Occurrence
- Support
Risk of Overstatement
- Revenues
- Assets
Tracing Order
- Transaction Approved
- Execution of Event
- Source Documents
- Books of Original Entry
- Subsidiary Ledger
- General Ledger
- Trial Balance
- Financial Statements
Tracing tests and risks
Tests
- Completeness
- Coverage
Risk of Understatement
- Expense
- Liabilities
The following standard procedures are used in every audit as risk assessment procedures, test of controls, or substantive tests.
- F-ooting, Crossfooting, Recalculation
- I-nquiry
- V-ouching
- E-xamination/Inspection
- C-onfirmation
- A-nalytical Procedures
- R-eporformance
- R-econcilliation
- O-bservation
- T-racing
- C-utoff
- A-uditing Related Accounts Simultaneously
- R-epresentation Letter
- S-ubsequent Events Review
Account Balances Assertions
- C-ompleteness
- V-aluation, allocation, and accuracy
- E-xistence and Occurance
- R-ights and Obligations
Transactions and Events Assertions
- C-ompleteness
- cut-O-ff
- V-aluation, Allocation, and Accuracy
- E-xistence and Occurance
- U-nerstandability and Classification
Presentation and Disclosure Assertions
- C-ompleteness
- V-aluation, Allocation, and Accuracy
- R-ights and Obligations, and Occurance
- U-nderstandability and Classification
