Question 2 Large audits are usually split into two phases. Close to the end of the year interim audits consisting of transaction testing and system assessment work are carried out. The final audit takes place after the year end and this involves testing of items of statement of financial position and the balance of the work.

a) Identify 4 key benefits that may arise a a result of spreading the audit work across interim audit and final audit,

b} Explain 4 audit procedures required to be carried out during final audit and audit procedures carried out during interim audit.

c) According to ISA 300, certain procedures must only be performed at or after a year end, Identify 2 of these procedures.