Auditoria Flashcards
(39 cards)
Parte of the standard unqualified audit report
- Report title
- Audit report addres
- Introductory paragraph
- Scope paragraph
- Opinion paragraph
- Name of CPA firm
- Audit report date
Audit committee
Selected members of a company’s outside directors, who take an active role in overseeing the company’s accounting and financial reporting policies and practices.
Accounting system
The series of tasks and records of an entity by which transactions are processed as a means of maintaining financial records. Such systems identify, assemble, analyze, calculate, classify, record, summarize, and report transactions and other events.
Analytical procedures
The analysis of significant ratios and trends including the resulting investigation of fluctuations and relationships that are inconsistent with other relevant information or deviate from predictable amounts.
Analytical review
The process of planning, executing, and drawing conclusions from analytical procedures.
Annual report
An entity ordinarily issues on an annual basis a document which includes its financial statements together with the audit report thereon. This document is frequently referred to as the “annual report.”
Audit
The objective of an audit of financial statements is to enable the auditor to express an opinion whether the financial statements are prepared, in all material respects, in accord- ance with an identified financial reporting framework. The phrases used to express the auditor’s opinion are “give a true and fair view” or “present fairly, in all material respects,” which are equivalent terms. A similar objective applies to the audit of financial or other information prepared in accordance with appropriate criteria.
Audit client
An entity in respect of which a firm conducts an audit engagement. When the audit client is a listed entity, it will always include its related entities.
Audit documentation
The principal record of the basis for the auditor’s conclusions and provides the principal support for the representations in the auditor’s report.
Audit engagement
An assurance engagement to provide a high level of assurance that finan- cial statements are free of material misstatement, such as an engagement in accordance with International Standards on Auditing. This includes a statutory audit which is an audit required by national legislation or other regulation.
Audit evidence
The information obtained by the auditor in arriving at the conclusions on which the audit opinion is based. Audit evidence will comprise source documents and accounting records underlying the financial statements and corroborating information from other sources.
Audit firm
Audit firm is either a firm or entity providing audit services, including where appropriate its partners, or a sole practitioner.
Audit objective
The specific expression of a financial statement assertion or assertions for which evidence needs to be obtained. For example, the objective “Investments exist and are owned by the entity.”
Audit program
An audit program sets out the nature, timing, and extent of planned audit procedures required to implement the overall audit plan. The audit program serves as a set of instructions to assistants involved in the audit and as a means to control the proper execution of the work. Also called audit plan.
Audit report
An Audit report in usually synonymous with an Audit opinion, but it may be a more comprehensive report. The comprehensive audit report contains all important administrative data related to the audit, including comments, results, and the corrective preventive actions that have been determined. The Audit report is an official document that is signed by the lead auditor and the head of the audited area.
Compliance auditing
Is a review of an organization’s procedures to determine whether the organization is following a specific set of criteria (e.g. government regulation, commercial contract, lease).
Component management
Management responsible for the preparation and presentation of a component’s financial information.
Custody
Physical control over assets or record
Entity
A separate or self-contained existence that provides goods or services. For example, a company, organization, or agency.
Evidence
Anything that can make a person believe that a fact, proposition, or assertion is true or false.
Financial statements
The balance sheets, income statements or profit and loss accounts, statements of changes in financial position (which may be presented in a variety of ways, for example, as a statement of cash flows or a statement of fund flows), notes, and other statements and explanatory material which are identified as being part of the financial statements.
Firm
(a) A sole practitioner, partnership or corporation of professional accountants; (b) An entity that controls such parties; and (c) An entity controlled by such parties.
Internal control
A process, effected by an entity’s board of directors, management and other personnel, designed to provide reasonable assurance regarding the achievement of objectives in the following categories: effectiveness and efficiency of operations, reliability of financial reporting, and compliance with applicable laws and regulations. – Committee of Sponsoring Organizations of the Treadway Commission.
Management
Management comprises officers and others who also perform senior manage- rial functions. Management includes directors and the audit committee only in those instances when they perform such functions.
