• Explain the responsibilities of auditors in relation to compliance with law and regulations under the ISA 250 Consideration of Laws and Regulations in an Audit of Financial Statements.
• Distinguish between internal and external audit.
• State the purpose of an engagement letter.
• List five matters that should be included within an audit engagement letter.
•  ISA 300 Planning an Audit of Financial Statements provides guidance to assist auditors in planning an audit. Explain the benefits of audit planning.
•  SA 530 Audit Sampling provides guidance on methods for selecting a sample of items for testing. Identify and explain THREE methods of selecting a sample.
•  Describe three types of modified audit options.
•  Describe five audit risks, giving examples and explain the auditor's response to each risk.

Answer rating: 100% (QA)

Responsibilities of Auditors under ISA 250 Auditors must consider the effect of laws and regulations on financial statements Identify and assess risks ... View the full answer