Professional Documents
Culture Documents
Objectives
• competent, relevant and reasonable
audit evidence was obtained to form an
opinion on the appropriate form of audit
certificate;
• audit evidence has been adequately
documented;
• audit opinion has been correctly
expressed and the audit report conforms
the reporting standards;
Analytical Review
A contingent liability is a
potential future obligation to an
outside party for an unknown
amount resulting from activities
that have already taken place.
Likelihood of Occurrence and
Treatment in Financial Statements
Likelihood of Treatment in
occurrence of event Financial statements
Remote No disclosure
(slight chance) necessary
Adequate disclosure
includes consideration
of all of the
statements, including
the related notes.
Use financial
statement disclosure
checklist.
Audit Documentation Review
Partner
The review of audit
documentation generally
involves three increasing
levels of personnel, ending
with the partner in charge of Auditor
Manager
the audit. Three main
reasons for review include:
Objective
The purpose of a hot file review is to identify
any key areas that need to be addressed prior to
signing the report.
Cold review
To review in detail the work performed by an audit
team and ensuring that the audit has been conducted
in accordance with the firm standard procedures.
Objectives: