Flashcards in Financial Statement Audits Deck (29)
Types of Interpretive Publications
1) Appendices to the SAS
2) Auditing Interpretations of SASs
3) Auditing guidance included in the AICPA Audit and Accounting Guides
4) AICPA auditing Statements of Position
10 Original AICPA Auditing Standards used by the PCAOB
4) Planning and Supervision
5) Internal Control
3 Main Categories of the 10 Auditing Standards
2) Field Work
4 Primary theme of the new clarified auditing standards
The 7 principles of the claried auditing standards are not requirments and have no authoritative status (T/F)
Interpretive publications are not considered to be auditing standards (T/F)
Statements on Auditing Standards (SASs) constitute what?
Generally Accepted Auditing Standards (GAAS)
Who issues SASs
Auditing Standards Board
What two principals underline SASs
Materiality & Audit Risk
The Auditing Standards Board is part of what Organization?
American Institute of CPAs (AICPA)
The Auditing Standards Board promulgates what?
1) Statements on Auditing Standards (SASs)
2) Statements on Standards for Attestation Engagements (SSAE)
3) Statements on Quality Control Standards (SQCS)
Who governs Governmental Audits?
Government Accountability Office (GAO) with the GAGAS
What is the "Purpose" of the audit
Provide an opinion
What is the "Premise" of the audit
Management has the responsibility for
1. Financial Statements
2. Providing the auditor with information
What are the "Responsibilities" of an auditor?
What is the "Performance" standard of an audit
Same of fieldwork standards under PCAOB
What are the 4 main sections of a unmodified report?
1. Intro (technically has not title)
2. Management's responsibility for the Financial Statements
3. Auditor's Responsibility
The Statements on Auditing Standards issued by the Auditing Standards board comprise what?
Evidence must have what 2 qualities?
Sufficient & Appropriate
What two concepts are the basis for the audit?
Materiality & Audit Risk
2 Categories of Professional Requirments
1. Unconditional (must)
2. Presumptively Mandatory (should)
Six Elements of Quality Control
LEAH - EM
5. Engagement Performance
How often should an accounting firm get written confirmation of independence from it's staff?
Substantive Procedures are broken-down into what categories and sub-categories?
1. Analytical Procedures
2. Test of Details
a. Ending Balance
Where is GAAP referenced in the Unmodified Audit Report?
1. Opinion paragraph
2. Management's Responsibilities Paragraph
Where is GAAS referenced in the Unmodified Audit Report?
SSARS stands for what and relates to what services?
Statements on Standards of Accounting and Review Services
SSAEs stands for what and relates to what services?
Statements on Standards of Attestation Engagements
- Opinion on something other than the financials