What aspects of the process should the auditor understand

Assignment Help Auditing
Reference no: EM13886900

When testing accounts that are based on management estimates, the auditor should understand the process management uses to develop those estimates. As part of obtaining that understanding, what aspects of the process should the auditor understand?

Reference no: EM13886900

Questions Cloud

Describe the ethical environment that led to the fraud : Briefly describe the ethical environment that led to the fraud
What type of negative risk response strategy is this : The project manager decides to not upgrade to the new, unfamiliar operating system until the ongoing IT project is completed. What type of negative risk response strategy is this
Find the center mass : A thin rod sits along thexaxis with one end atx= -aand the other end atx=a, wherea=2.4m. The rod has anon-uniform densitygiven by(x+a)2, where=1.7kg/m3. I already got the total Mass= 62.669, but now I need to find the Center Mass.
Sketch the mohr circle diagram : A body is loaded under a stress state σx = 400, σy = 100, τ xy = 120, τ yz = τ zx = o z = 0. A. Sketch the Mohr's circle diagram.
What aspects of the process should the auditor understand : When testing accounts that are based on management estimates. As part of obtaining that understanding, what aspects of the process should the auditor understand?
Explain the role of professional skepticism in the context : Explain the role of professional skepticism in the context of evaluating management's explanations for their accounting for reserves in this context.
Calculate maximum velocity : A 100 kg body falls from rest from a height of 100 m above the ground. Calculate its maximum velocity when it hits the ground. (a) Use the maximum value for gravity, (b) use the minimum value for gravity, and (c) use the standard value for gravity.
What is likely the primary concern of your senior : You let your senior know that you likely do not have any additional work to perform. Your senior asks you to reconsider your conclusion. What is likely the primary concern of your senior?
Write essay on any environmental topic : Search for a science article from the Elsevier ScienceDirect research database at the Hunt Library using the ScienceDirect tutorial.

Reviews

Write a Review

Auditing Questions & Answers

  Bad debt expenses-net realizable value

What was the total amount of bad debts expense recognized during the year? Explain the term "net realizable value" as it relates the presentation of Accounts Receivable on the Balance Sheet.

  Financial statements of austin software company

You are auditing the financial statements of Austin Software Company, which is a fast growing software development company.

  Audit deficiency report in relation

Audit deficiency report in relation to an individual audit firm if it identifies an audit deficiency in the auditor's quality control system or the conduct of an audit that may be detrimental to the overall quality of the audit

  Has rodney breached any auditing standards

Has Rodney breached any auditing standards/regulations and if so, what and why? Do you have any concerns and are there any breaches that have occurred here?

  Auditing and assurance services

HI5026 ASSIGNMENT QUESTION - Auditing and Assurance Services , (b) Would your answer change if EFL had written to King & Queen advising you that they intended to make a loan to Impulse and were relying on the 2012 audited financial report to assist t..

  Describe independent auditors concept of materiality

Briefly describe independent auditors concept of materiality - what are some common measures of materiality with respect to income, sales, and total assets?

  Define professional skepticism

Define professional skepticism and discuss why it so important to the practice of auditing. Read the attached article, "A Model and Literature Review of Professional Skepticism in Auditing" by Mark W.

  What was the penalty or punishment placed on the auditor

Which an auditor or audit firm was deemed to be liable for some form of misconduct in an audit. For what were they considered guilty and what was the penalty or punishment placed on the auditor?

  Product cost and respective current selling price

Calculate full unit cost for products X and Y under the traditional costing system and calculate full unit cost for products X and Y under the new activity-based costing (ABC) system.

  State the level of materiality

State the level of materiality as immaterial, highly material or material. If you cannot select the level of materiality, state the extra information needed to make a decision.

  Explain the purposes and reasons for public accounting firms

Explain the purposes and reasons for public accounting firms to perform an integrated audit. Address the Sarbanes-Oxley Act (SOX) and explain corporate governance and its relation to integrated audits.

  Evaluating inquiry and oral evidence

(Audit evidence) In an audit of financial statements, an auditor must judge the validity of the audit evidence obtained.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd