Auditing - Exam 2 Study Guide

Chapter 5

Responsibilities of Management

Responsibilities of Auditors

Assertions - What are they? What does each mean? How do they relate to transactions, accounts, and presentation/disclosure issues? How do we consider and test them?

Qualities of Audit Evidence - How do we define them? How are they evaluated by regulators, the courts, and our peers?

Relying on the work of others

Roles of engagement team members

Chapter 6

Internal Control Frameworks

Types of Audits (Financial, Integrated, ect)

Objectives and Components of IC according to COSO

Types of controls

Principles of internal control, as they relate to components

Entity vs Transactional controls

Evaluating internal control - What methods/techniques do we use?

Why is gaining an understanding of a client's system of internal control important? When do we typically do this? What purpose do we have for doing so?

Chapter 7

What are audit data analytics?

When do we use audit data analytics?

What value do audit data analytics provide to auditors? To clients? To Society?

How do we plan, execute, and evaluate audit data analytics? (Study the process)

What do we consider when planning audit data analytics?

How do we evaluate data when selecting it for use in an audit data analytic?

Chapter 8

How do ICFR Audits under PCAOB standards differ from testing of ICFR for the purposes of expressing an opinion on the financials under AU-C standards?

What are the procedures used to test controls?

How do we assess control risk?