Đang chuẩn bị liên kết để tải về tài liệu:
Lecture Auditing and assurance services in Australia: Chapter 10 - Gay, Simnett

Chapter 10 - Substantive tests of transactions and balances. After studying this chapter you should be able to: identify and distinguish between tests of controls and substantive tests of transactions, and between substantive tests of transactions and substantive tests of balances; Describe and understand the use of computer-assisted audit techniques in substantive testing. | CHAPTER 10: SUBSTANTIVE TESTS OF TRANSACTIONS AND BALANCES RELATIONSHIP BETWEEN TESTS OF CONTROLS AND SUBSTANTIVE TESTS OF TRANSACTIONS Most controls built around transaction flows. Tests of controls: transactions selected to test whether related controls are working. Substantive test of transactions: transactions selected to determine whether monetary errors have occurred. DUAL PURPOSE TESTS These are tests of transactions that address both control and financial misstatement issues simultaneously. Very common in practice since both tests of controls and substantive tests of transactions involve inspection of documents. It is efficient to perform tests on transactions selected simultaneously, e.g. select document and check evidence of authorisation (test of control) and recompute amount (substantive test of transaction). SUBSTANTIVE TESTS OF TRANSACTIONS AND BALANCES Objective is to provide reasonable assurance of validity and propriety of financial report or identify monetary misstatements and thus reduce detection risk of auditor. Substantive tests of transactions focus on the individual transactions that make up the balance. Substantive tests of balances substantiate the ending balance of an account. DISTINGUISHING BETWEEN SUBSTANTIVE TESTS OF TRANSACTIONS AND SUBSTANTIVE TESTS OF BALANCES The $5000 balance for Able could be verified by confirming this balance with customer (test of balances) or verifying to supporting documentation the three transactions comprising this balance (tests of transactions). FINANCIAL REPORT ASSERTIONS OF INTEREST EXISTENCE/ OCCURRENCE AND COMPLETENESS ASSERTIONS Note that the direction of testing determines whether existence/occurrence or completeness assertion is tested. DETERMINANTS OF AUDIT PROCEDURES USED Will be determined by: The assertion/audit objective to be tested The nature of the item and available evidence CASH, CASH RECEIPTS AND CASH PAYMENTS — ASSERTIONS OF PRIMARY INTERESTS Cash Cash . | CHAPTER 10: SUBSTANTIVE TESTS OF TRANSACTIONS AND BALANCES RELATIONSHIP BETWEEN TESTS OF CONTROLS AND SUBSTANTIVE TESTS OF TRANSACTIONS Most controls built around transaction flows. Tests of controls: transactions selected to test whether related controls are working. Substantive test of transactions: transactions selected to determine whether monetary errors have occurred. DUAL PURPOSE TESTS These are tests of transactions that address both control and financial misstatement issues simultaneously. Very common in practice since both tests of controls and substantive tests of transactions involve inspection of documents. It is efficient to perform tests on transactions selected simultaneously, e.g. select document and check evidence of authorisation (test of control) and recompute amount (substantive test of transaction). SUBSTANTIVE TESTS OF TRANSACTIONS AND BALANCES Objective is to provide reasonable assurance of validity and propriety of financial report or identify .