ISA 5 các yếu tố của quá trình kiểm toán

Part Two Planning and Risk Copyright  2006 McGraw-Hill Australia Pty Ltd 5-1 Chapter Overview of Elements of the Financial Report Audit Process Copyright  2006 McGraw-Hill Australia Pty Ltd 5-2 Learning Objective 1: Accounting and Auditing Contrasted Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-3 Areas of audit interest • Accountable activity of the entity – – – • Collection of original accounting data; Allocations and reclassifications of the associated data; and Presentation of results in financial report Organisation of the entity – – External relationships Internal organisational structure Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-4 Learning Objective 2: Financial Report Assertions and Audit Objectives • Directors and managers make assertions when they present a financial report • Auditors use these assertions to assess risks by considering different types of potential misstatements that may occur and designing audit procedures in response to risks • There are three categories of assertions: – – – Classes of transactions and events; Account balances; and Presentation and disclosure Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-5 Financial Report Assertions and Audit Objectives (cont.) • Assertions about classes of transactions and events for the period under audit: (a) Occurrence – transactions and events that have been recorded have occurred and pertain to the entity (b) Completeness – all transactions and events that should have been recorded have been recorded (c) Accuracy – amounts and other data relating to recorded transactions and events have been recorded appropriately (d) Cutoff – transactions and events have been recorded in the correct accounting period (e) Classification – transactions and events have been recorded in the proper accounts Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-6 Financial Report Assertions and Audit Objectives (cont.) • Assertions about account balances at the period end: (a) (b) Existence – assets, liabilities and equity interests exist Rights and obligations – the entity holds or controls the rights to assets, and liabilities are the obligation of the entity (c) Completeness – all assets, liabilities and equity interests that should have been recorded have been recorded (d) Valuation and allocation – assets, liability and equity interests are included in the financial report at appropriate amounts and any resulting valuation adjustments are appropriately recorded Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-7 Financial Report Assertions and Audit Objectives (cont.) • Assertions about presentation and disclosure: (a) Occurrence and rights and obligations – disclosed events, transactions and other matters have occurred and pertain to the entity (b) Completeness – all disclosures that should have been included in the financial report have been included (c) Classification and understandability – financial information is appropriately presented and described, and disclosures are clearly expressed (d) Accuracy and valuation – financial and other information is disclosed fairly and at appropriate amounts Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-8 Assertions and objectives for the account balance of inventory of a manufacturing company Financial report Assertion Existence Completeness Rights and obligations Valuation and allocation Illustrative audit objectives Inventories included in the balance sheet physically exist Inventories represent items held for sale in normal course of business Inventory quantities as per the accounting records include all products, materials and supplies owned by the company that are on hand Inventory quantities include all products, materials and supplies owned by the company that are in transit or stored at outside locations The company has legal title or similar rights or ownership to the inventories Inventories exclude items billed to customers or owned by others Inventories are properly stated at cost (except when the net realisable value is lower) Slow-moving, excess, defective and obsolete items included in inventories are properly identified and valued Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-9 Learning Objective 3: Audit Evidence Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-10 Interrelationship of the components of audit risk Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-24 Business risk • Business risk is defined as: – The risk that an entity’s business objectives will not be obtained as a result of external and internal factors, pressures and forces brought to bear on entity and, ultimately, the risk associated with the entity’s survival and profitability • Requires extensive knowledge of client’s business and industry • Recent audit methodologies emphasise assessment of strategic business risk Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-25 The relationship of business risk to the determination of audit risk Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-26 Learning Objective 7: Types of Audit Tests • Tests of control • Substantive tests Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-27 Tests of control • An auditor performs tests of control to obtain evidence about whether the control activities of the internal control system are effective • The tests are designed to provide evidence to support an assessment of control risk at a level below high (indicating reliance on the keys controls) Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-28 Substantive tests • Performed on specific transactions and balances to see whether the dollar amount of account balance is materially misstated • These tests reduce detection risk Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-29 Types of substantive tests • Analytical procedures — involve the study and comparison of relationships between accounting data and related information • Tests of details — obtaining evidence on the items (or details) included in an account balance or class of transactions: – – Tests of transactions Tests of balances Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-30 Learning Objective 8: Using the Work of an Expert or Another Auditor • Given the complexity and highly specialised nature of many client operations, auditors often find they are unable to service clients effectively without specialist knowledge • Experts can be internal or external to the audit firm • Audit firms develop industry specialisations, have knowledge management systems supporting the specialisations and have employees designated as specialists by industry, function or technical area Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-31 Ensuring that work by an expert is adequate • An auditor should: – – – – Assess skills and competence of the expert; Assess objectivity and independence of the expert; Communicate with the expert to confirm terms of engagement and to ensure the expert understands the objective and utility of work; and Evaluate the work of the expert Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-32 Using the work of another auditor • Audit work may be undertaken by a number of different auditors (Consider a consolidated entity with subsidiaries in many countries.) • The principal auditor retains responsibility for the overall audit opinion and must ensure the procedures used by other auditors are appropriate for the principal auditor’s purpose Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-33 Assessing the work of another auditor • AUS 602/ASA 600 (ISA 600) indicates that where an auditor uses the work of another auditor, the principal auditor should: – – – Assess the professional competence of the other auditor; Advise the other auditor of requirements applicable to engagement; and Advise the other auditor of the use to be made of their work, areas requiring special attention, and timetable Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-34 Learning Objective 9: Working Papers These are the specific means used to record audit evidence • Working papers aid in: • – – – • Planning and performing the audit; Supervising and reviewing the audit work; and Gathering evidence and providing essential support for the auditor’s opinion Two main divisions: – – Permanent file - store of documents relevant to this audit and future years (e.g copies of company constitution, continuing contracts.) Current working paper file - documentary record of evidence gathered and conclusions reached on this audit Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-35 Current working paper file • Includes: Overall audit plan; Review of accounting system and related internal controls; Audit program, listing the audit procedures undertaken; Details of audit testing undertaken; Working trial balance - schedule of general ledger accounts; Trial balance working paper schedules, including external documents; and Draft of financial report and audit report Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-36 Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-37 Legal aspects of working papers • AUS 208/ASA 230 (ISA 230) states that working papers are the property of the auditor • Auditor should not permit access to audit files by client’s staff, who may then become familiar with audit procedures and could facilitate fraud • Working papers must be kept for years Copyright  2006 McGraw-Hill Australia Pty Ltd Revised PPTs t/a Auditing and Assurance Services in Australia 3e by Grant Gay and Roger Simnett Slides prepared by Roger Simnett 5-38 ... associated data; and Presentation of results in financial report Organisation of the entity – – External relationships Internal organisational structure Copyright  2006 McGraw-Hill Australia Pty Ltd... external to the audit firm • Audit firms develop industry specialisations, have knowledge management systems supporting the specialisations and have employees designated as specialists by industry,... Simnett 5-18 Components of audit risk (AR) • There are three components: Refer AUS 202/ASA 200 (ISA 200): – Inherent risk (IR):  – Control risk (CR):  – Susceptibility of an assertion to material