Tests of Details

Question 1

What are tests of details?

Answer 1

A further type of substantive procedure which describes the process of gathering audit evidence through detailed inspection of invoices, documents and assets

Question 2

Examples of tests of details?

Answer 2

Inspection of invoices
Physical inspection
Review of board meeting minutes
Review or after-date monies received per the cash book

Question 3

What is the inspection of invoices?

Answer 3

Verify the accuracy of the amounts recorded in the financial statements

Question 4

What is the physical inspection?

Answer 4

Verify the existence of non-current assets and inventory

Question 5

What is a review of board meeting evidence?

Answer 5

Done for evidence of any provisions for legal claims which should be included in the FSs

Question 6

What is review of after-date monies received per the cash book?

Answer 6

Done in order to gain evidence over the valuation of receivables