AUD 2 - Documentation Flashcards
(6 cards)
1
Q
What does documentation support?
A
Documentation supports auditor’s opinion (NOT client’s financial statements)
2
Q
What is another way to say documentation?
A
Working papers or Workpapers
3
Q
Who do workpapers belong to?
A
- Workpapers belong to auditor
- May not disclose without client’s permission or court order
4
Q
How long are workpapers retained for SAS rules (nonissuer) and PCAOB rules (issuer)?
A
Nonissuers - 5 years
Issuers - 7 years
5
Q
How long can you modify workpapers after the documentation completion date? (E.g. you received confirms after the report was issued)
A
Nonissuers - 60 days
Issuers - 45 days
6
Q
Define the difference between permanent file and current file?
A
- Permanent file is carried forward from year to year
- Current file is this year’s “stuff”
1) Audit plan (audit program)
2) Financial statements
3) Working TB
4) Summaries of significant audit findings
5) Test of controls and substantive tests
