Reliability - sources of evidence, Auditing

Reliability - Sources of evidence

Reliability of audit evidence is influenced through its nature and its source and since it is dependent upon the specific circumstances, we can create some generalizations that:

  1. Audit evidence is much more reliable whenever it is got from independent sources outside the entity.
  2. Audit evidence which is generated internally is more reliable whenever the related controls imposed through the entity are effective.
  3. Audit evidence obtained directly through the auditor as for example, to observation of the application of a control is more reliable rather than audit evidence obtained directly or indirectly or through inference as for example, inquiry concerns the application of a control.
  4. Audit evidence is much more reliable whenever it exists in documentary form, where paper, other medium or electronic as for example, a contemporaneously written record of a meeting is much more reliable rather than a subsequent oral presentation of the issues discussed.
  5. Audit evidence provided through original documents is more reliable rather than audit evidence given through photocopies or through facsimiles.
Posted Date: 1/24/2013 7:24:07 AM | Location : United States







Related Discussions:- Reliability - sources of evidence, Assignment Help, Ask Question on Reliability - sources of evidence, Get Answer, Expert's Help, Reliability - sources of evidence Discussions

Write discussion on Reliability - sources of evidence
Your posts are moderated
Related Questions


two advantages of an Audit to the shaire holders

Required: Describe a complete audit program for collecting relevant evidence for the audit of the estimated warranty liability. Approach: Develop specific assertions related to

only needs to be 2 - 3 pages and I need help with an audit plan is to look like

Blowing the Whistle on Former Partners On St. Patrick's Day in 1992, Chambers Development Company, one of the largest landfill and waste management firms in the United States, a

With reference to the case study business, identify appropriate audit tests to be carried out. Prepare a statement of the work to be carried out and the manner in which it will be

Are you able to help me my advanced auditing assignment? It is Tuesday and it is due Friday. I have worked hard on it but I am struggling with it. Carmen

Question: "The planning, testing, and evaluation of audit evidence for indicia of fraud are unlikely to be successful without that attitude, particularly because fraud is a cri

challenges facing sasini company"s audited statements