2 You determine that the risk of material misstatement (RoMM) for the property and equipment control accounts is high. Given that Amazon is a publicly traded company, the overall audit risk for the audit including the property and equipment, net line item is set at low. You set detection risk as low for property and equipment and therefore you increase sample size testing as compared to last year. What two other changes would you include in your audit plan that specifically relates to the audit of property and equipment to keep detection risk low? Your answer should not include specific procedures but two general considerations for auditing property and equipment.?

 

 

Question 3 

You determine that existence is an assertion that has a high risk of material misstatement. What two audit procedures will you perform to test the existence assertion given you want a high level of reliability? Ensure the written procedures can be easily followed from beginning to end by an inexperienced auditor?

Answer rating: 100% (QA)

Question 2 Assessing and understanding internal controls To keep detection risk low it is important ... View the full answer